The labor force includes individuals who are: I. Employed II. Unemployed III. Discouraged workers

The circular flow of income involves the idea that

A) the seller of a good receives exactly the same amount as the buyer spends. B) in every economic exchange one party takes advantage of the other party. C) the seller of a good receives more than the buyer spends. D) the seller of a good receives less than the buyer spends.

The marginal propensity to consume (MPC) is

A) the percentage of real disposable income saved. B) the percentage of an additional dollar of real disposable income that will go toward additional real consumption spending. C) the percentage of real disposable income consumed. D) the rate at which real consumption spending changes over time.