The popular theory prior to the Great Depression that the economy will automatically adjust to achieve full employment in the long run is:

Which one of the following twentieth-century nations eliminated the problem of scarcity?

A) Socialist Cuba B) Socialist China C) Fascist Italy D) The United States of America E) None of the above.

A tax rebate, which is expected to be offered in this and all future years, will

A) have a significant positive effect on consumption and aggregate demand, with aggregate demand growing by a multiple of the tax rebate. B) increase aggregate supply and aggregate demand. C) have a small positive effect on consumption and aggregate demand. D) have no effect on consumption and aggregate demand.