A funded pension plan _____
a. pays current beneficiaries from the contributions of current contributors
b. pays current beneficiaries from the contributions of new contributors
c. maintains assets equal to the present value of future liabilities
d. is functionally equivalent to a pay-as-you-go system, except for the pension plan is not compulsory
c
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All of the following are examples of a constant-elasticity demand curve except a(n)
a. perfectly elastic demand curve b. linear demand curve with a slope of -4 c. perfectly inelastic demand curve d. unit-elastic demand curve e. vertical demand curve
The slope of the consumption function is also known as
a. the consumption ratio b. the average propensity to consume c. autonomous consumption spending d. the marginal propensity to consume e. multiplying propensity to consume