Suppose that average labor productivity in Country C is $5,000, and that Countries C and E have the same real GDP per capita. Based on the information in the table, what must be the average labor productivity in Country E?CountryPopulation (millions)Share of Population Employed (%)A10060B15055C7550D25045E9540 

The difference between national income and disposable income is

a. residential investment. b. federal deficits. c. net exports. d. financial investment. e. the amount of taxes collected.

Suppose the economy is in long-run equilibrium and the government decreases its expenditures. Which of the following helps explain the logic of why the economy moves back to long-run equilibrium?

a. as people revise their price-level expectations upward, firms and workers strike bargains for higher nominal wages. b. as people revise their price-level expectations upward, firms and workers strike bargains for lower nominal wages. c. as people revise their price-level expectations downward, firms and workers strike bargains for higher nominal wages. d. as people revise their price-level expectations downward, firms and workers strike bargains for lower nominal wages.