If the crowding-out effect is complete and the marginal propensity to save is 0.25, then an increase in government spending of $100 billion will generate how much more real GDP?

Refer to the figure above. Other things remaining the same, assume that the individual now has a higher opportunity cost of time. Which of the following statements is true in this context?

A) Optimization in levels will not lead to an efficient outcome. B) The cost curve will move u

An example of financial capital is

A) bonds. B) computers. C) the talents of a highly paid movie star. D) machines. E) buildings.