The total volume of business sales in our economy is several times larger than GDP because ________.
A. GDP does not take taxes into account
B. GDP grossly understates the value of our annual output
C. GDP excludes intermediate transactions
D. Total sales are in money terms and GDP is always stated in real terms
Answer: C
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If the price elasticity of supply of corn is 3.12, then is the supply of corn elastic or inelastic?
What will be an ideal response?
In a negative income tax program,
a. the government guarantees a minimum level of family income b. a family must pay income taxes on its welfare check c. a family receives a fixed amount of money from the government and its members can keep all income earned through work d. the government reduces the welfare payment by any income earned through work e. a family's income is lower if its members work