After sugar refiner has produced fine sugar for baking purposes, what is left over is used to produce molasses. This technology exhibits

Suppose the people of Rhodia spend $70 and save $30 for every $100 they earn. In this case, the marginal propensity to consume equals _____

a. 0.3 b. 0.7 c. 0.5 d. 0.8

Answer the following questions true (T) or false (F)

1. Stagflation refers to when the general economy is experiencing a falling unemployment rate and a rising inflation rate. 2. The unemployment of capital can be expressed in terms of the manufacturing capacity utilization rate. 3. The consumer price index or CPI is given by the cost of a standard market basket of goods and services in the current period relative to the GDP implicit price deflator.