Which of the following is a practical question to implementing Keynesian economic policies to stimulate the economy?
a. Does the government know whether it is better to increase spending or increase taxes?
b. Does the government know whether it is better to cut spending or cut taxes?
c. Does the government know when there is cyclical unemployment?
d. Does the government accurately know what the country’s potential GDP is?
d. Does the government accurately know what the country’s potential GDP is?
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When the money market is drawn with the value of money on the vertical axis, as the price level increases the quantity of money
a. demanded increases. b. demanded decreases. c. supplied increases. d. supplied decreases.
Since Ditto can always be expected to choose the same activity as Dot in the copycat game
a. any move by Dot to escape from Ditto would not be a Pareto improvement. b. any move by Dot to escape from Ditto would be a Pareto improvement. c. Ditto's choice to follow Dot is a Pareto improvement over going by himself. d. Ditto's choice to follow Dot would be a Pareto improvement over playing by himself so long as Dot does not move.