Bill's disposable income goes from $100,000 in 2010 to $200,000 in 2011, and his consumption spending goes from $80,000 in 2010 to $140,000 in 2011 . Which of the following statements about Bill is true?
a. Bill's MPC rose between 2010 and 2011.
b. Bill's MPC is equal to 0.7

Suppose you pre-ordered a non-refundable movie ticket to X-Men: Apocalypse. On the day of the movie you decide that you would rather not go to the movie. According to economists, what is the rational thing to do?

A) You should go to the movie to maximize your utility. B) You should not waste resources. Since you have paid for the ticket you should watch the movie. C) Your should go to the movie to minimize your losses. D) Since the cost of the movie ticket is a sunk cost, it should not influence your decision. Your decision should be based solely on whether you want to see the movie or not.

In the graph showing the Phillips curve after a negative supply shock, we can see that high energy prices in the late 1970s caused ______.

a. an increase in inflation rate and a decrease in unemployment rate
b. a decrease in inflation rate and an increase in unemployment rate
c. an increase in both inflation and unemployment rates
d. a decrease in both inflation and unemployment rates