Consumption spending is:
A. negatively related to the overall price level.
B. positively related to the overall price level.
C. equal to the overall price level.
D. not correlated with the overall price level.
A. negatively related to the overall price level.
You might also like to view...
$20 is to be divided among two individuals—Gary and Jamie. Which of the following allocations is NOT Pareto efficient?
A) Gary receives $1, and Jamie receives $19. B) Gary receives $19, and Jamie receives $1. C) Gary receives $8, and Jamie receives $9. D) Gary receives $15, and Jamie receives $5.
If the federal budget has an actual budget surplus of $75 billion, but a cyclically adjusted budget surplus of $50 billion, then the economy must be above potential real GDP
Indicate whether the statement is true or false