If you buy a book of U.S. postage stamps to use to mail love letters to your sweetheart, the purchase is considered part of:

A. C.
B. I.
C. G.
D. X.

Answer: A

Economics

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How is a firm's labor demand affected during a recession if wages are downwardly rigid?

What will be an ideal response?

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Which of the following would tend to make the multiplier smaller?

A) an increase in the marginal propensity to consume B) an increase in the marginal propensity to save C) a reduction in taxes D) a reduction in government spending E) none of the above

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