Which of the following raise the incentive for households to save?
a. means-testing of government benefits and inheritance taxes
b. means-testing of government benefits but not inheritance taxes
c. inheritance taxes, but not means-testing of government benefits
d. neither means-testing of government benefits nor inheritance taxes
d
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According to Friedman, changes in the level of aggregate demand
a. are dominated by changes in the supply of money. b. cause the levels of output and employment to deviate from their natural rate for short periods of time. c. can cause movements of the economy away from the natural rate for at least 2 years. d. are dominated by changes in the demand for money. e. Both a and b.
Julio makes wine and beer. Last year he made 20 bottles of wine and 20 cases of beer. If the price of grapes goes down (making wine cheaper to make), Julio will be able to make the same amount of wine and more beer
a. True b. False Indicate whether the statement is true or false