The unemployment rate equals the number of persons
a. unemployed divided by the number employed.
b. unemployed divided by the number in the labor force.
c. unemployed divided by the population age 16 and over.
d. not working divided by the population age 16 and over.
B
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Automatic stabilizers are designed to
A) moderate changes in disposable income. B) stabilize the bi-partisan budget process. C) simplify the tax system. D) promote global trade.
Which of the following statements is false?
A) Private equity firms often need to borrow the money needed to buy a public corporation. B) Once a private equity firm owns a formerly publicly held corporation, they tend to cut costs and enhance efficiency. C) Critics of private equity firms say that companies that have too much cash and too little debt become targets for private equity firms to buy. D) A private equity firm is a group of investors that takes a privately held corporation and uses an investment banker to turn it into a publicly held corporation.