Which of the following will restore an economy to full employment, if it is operating below full employment due to a decrease in net exports?
A) A reduction in the investment in the economy
B) A reduction in the demand for goods and services in the economy
C) A decrease the real exchange rate
D) An increase in the interest rate
C
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If demand is price elastic, a decrease in price results in a(n)
a. decrease in total expenditure on the good b. unfavorable shift in tastes and preferences c. decrease in total cost for the seller d. increase in supply of the good e. increase in total revenue to the seller
If you hear that unemployment increased in the last year by 3.5 percentage points to 8 %it means:
A. 35 out of every 100 people lost their job in the last year. B. 8 out of every 1,000 people who want a job can't find one. C. 80 out of every 100 people who want a job can't find one. D. 35 out of every 1,000 people lost their job in the last year.