What is one of the major shortcomings of using tariffs or quotas to "save American jobs"?
A. Trade barriers protect the development of new technology, but the new technology eliminates jobs
B. Import restrictions alter the composition of domestic employment, but they have minimal effect on the overall level of domestic employment
C. The volume of trade with other nations is limited to a few industries, so trade restrictions would not increase national employment
D. Major American firms have produced many products in other countries, and would not hire more domestic labor when trade barriers are imposed
B. Import restrictions alter the composition of domestic employment, but they have minimal effect on the overall level of domestic employment
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Which one of the following will shift the consumption function upward?
a. Higher interest rates. b. Expectations that the economy will grow in the future. c. A decrease in money holdings. d. Higher capacity utilization rates. e. A tax increase.
Compared to the size of GDP in 2014, the net national debt was approximately
a. 10% as large. b. 33% as large. c. 60% as large. d. about twice as large.