"Budget deficits are inflationary." The truth of this statement depends on
a. aggregate demand in the economy.
b. the shape of the aggregate supply curve.
c. the size of the national debt.
d. existing debt as a percentage of GDP.
b
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According to the text there appear to be very limited opportunities for input substitution in the production of pipe organs. Which of the following is the most plausible explanation for this observation?
A) Capital costs have made it too expensive to purchase more capital stock. B) It requires a large amount of highly trained labor to produce a single pipe organ. C) The marginal productivity of additional trained workers is zero. D) The capital used in producing pipe organs is much more expensive than the labor inputs.
A state with "right-to-work" laws would most likely have
A) higher employment levels than neighboring states without such laws. B) more workers' benefits than neighboring states without such laws. C) more union workers than neighboring states without such laws. D) more worker safety requirements than neighboring states without such laws.