Classical growth theory argues that when real GDP per person rises above the subsistence level
A) technological change slows down, stagnating the economy.
B) population growth increases, driving real GDP per person back to subsistence level.
C) people don't want to work as much, decreasing labor supply.
D) the economy enjoys a period of permanent growth.
B
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According to the graph shown, in the long run we can expect that
These are the cost and revenue curves associated with a monopolistically competitive firm in the short run.
A. firms will enter the market.
B. firms will exit the market.
C. price will increase.
D. profits will increase.
The Reagan tax cuts of the 1980s
A. had not impact on the budget deficit. B. decreased the budget deficit. C. increased the budget deficit. D. initially decreased the deficit but later increased it.