A fixed-weight price index uses a process that adjusts the weights continuously year by year
a. True
b. False
Indicate whether the statement is true or false
False
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An increase in autonomous taxes
A) increases autonomous planned spending by an equal amount. B) decreases autonomous planned spending by an equal amount. C) increases consumption by that amount times the marginal propensity to consume. D) decreases saving by that amount times the marginal propensity to save.
Trade restrictions that limit the sale of low-price foreign goods in the U.S. market
a. increase the real income of Americans. b. benefit domestic producers in the protected industries at the expense of consumers and domestic producers in export industries. c. help channel more of our resources into producing goods for which we are a low-cost producer. d. reduce unemployment and increase the productivity of American workers.