When government spending is completely crowded out, the economy must have
A) perfect capital mobility.
B) floating exchange rates.
C) both A and B.
D) broken the rules. Government spending cannot be completely crowded out.
C
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Which of the following statements is true?
A) All else equal, the incentive to look for a job is lower for an individual with a lower opportunity cost of time. B) All else equal, a worker who earned a higher income earlier but is now unemployed will have a lower opportunity cost of time than someone who had a lower income but is now unemployed. C) All else equal, a worker who earned a higher income earlier but is now unemployed will have the same opportunity cost of time than someone who had a lower income but is now unemployed. D) All else equal, the incentive to look for a job is higher for an individual with a lower opportunity cost of time.
What is the marginal revenue of producing the fourth unit?
a. 90 b. 40 c. 20 d. 180