What effect does a stronger dollar have on aggregate supply? Why?
What will be an ideal response?
A stronger dollar means that U.S. residents can buy foreign goods more cheaply. Since some of the foreign goods will be raw materials and partially processed goods, input prices fall, which causes aggregate supply to increase.
Economics
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What is human capital and why is it crucial to expand human capital as part of the development process?
What will be an ideal response?
Economics
Acme Steel Co produces 1000 tons of steel. Steel sells for $30 per ton. Acme pays wages of $10,000. Acme buys $15,000 worth of coal, which is needed to produce the steel. Acme pays $2,000 in taxes. Acme's contribution to GDP is
A) $15,000. B) $20,000. C) $30,000. D) $45,000.
Economics