George Gnat subscribes to a monthly pest control service for his home
Last week the owner of the service informed George that he will have to raise his monthly service fee because of increases in the price of gasoline used by his workers on their service trips. How is the market for pest control services affected by this?
A) There is a decrease in the demand for pest control services.
B) There is a decrease in the supply of pest control services.
C) There is a decrease in the quantity of pest control services supplied.
D) There is an increase in the supply of pest control services.
B
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Which one of the following factors will most likely cause an increase in aggregate demand?
A. An increase in net exports. B. An increase in the real interest rate. C. A decrease in net exports due to falling incomes abroad. D. A technological development that decreases the cost of producing computer chips.
The GDP growth rate is report at annualized rate. This means each quarter’s growth rate is ______ and reported as if the economy had the same growth rate for the entire year.
a. divided by 12 b. multiplied by 4 c. divided by 4 d. multiplied by 12