Why do very small differences in annual growth rates amount to big differences in the degree of long-term economic growth?
A) because the slower-growing countries save too much
B) because the annual growth rate is compounded over time
C) because the faster-growing countries gain a political advantage over poorer countries, and use that advantage for their economic gain
D) because the slower-growing countries don't export enough
B
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Household income is spent on all of the following except one. Which is the exception?
a. services b. tax payments c. durable goods d. nondurable goods e. dividends
Sam has two jobs, one for the winter and one for the summer. In the winter, he works as a lift attendant at a ski resort where he earns $13 per hour. During the summer, he drives a tour bus around the ski resort, earning $11 per hour. If Sam takes fewer hours of leisure in the summer than in the winter, we can assume that his labor supply curve for the range of earnings in this example
a. is horizontal. b. is vertical. c. is upward sloping. d. has a backward-bending portion.