If the capital stock increases faster than employment, then we would expect
a. both output and labor productivity to rise
b. output to rise but labor productivity to fall
c. both output and labor productivity to fall
d. output to fall but labor productivity to rise
e. output to rise but labor productivity to remain unchanged
A
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Speculation during periods of inflation can result in:
A. People buying resources for resale later rather than using the resources for current production. B. A movement inside the production-possibilities curve. C. People buying gold, silver, jewelry, etc., instead of capital for production. D. People saving less of their disposable income. E. All of the above.
In 2010, the debt-to-GDP ratio increased to roughly the same ratio as the 1990s
a. True b. False Indicate whether the statement is true or false