The urban consumers that the CPI is based on includes:

Which of the following is not included in the investment component of GDP?

a. The purchase of 100 shares of stock. b. The purchase of a $1000 bond. c. A firm's purchase of a used van to use for deliveries. d. None of the above are included in the investment component of GDP.

A. monetary policy is ineffective. B. the government is unable to find willing lenders so it can continue borrowing. C. it can only be solved with a fiscal stimulus of lower taxes and more government spending. D. other countries will be unwilling

to buy goods and services from the nation. A. differs from the marketplace in that voters and congressional representatives often face limited and bundled choices. B. is less prone to failure than is the marketplace. C. is a much fairer way to allocate society's scarce resources than is the impersonal marketplace, which is dominated by high-income consumers. D. involves logrolling, which is always inefficient.