When deriving an Engel curve, the prices of both goods
A) are held constant.
B) increase by the same percentage as income.
C) decrease by the same percentage as income.
D) can either decrease, increase or stay the same.
A
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When politicians debated the North American Free Trade Agreement (NAFTA), some told stories of U.S. workers whose jobs would be moved to Mexico. Which of the following arguments in favor of protection was being used?
A) Save domestic jobs argument B) National security argument C) Anti-dumping argument D) Infant-industry argument E) Diversity and stability argument
Consumer goods that are produced, go into inventory, and are not sold during the current period are
a. counted as intermediate goods and so are not included in current period GDP. b. counted in current period GDP only if the firm that produced them sells them to another firm. c. included in current period GDP as inventory investment. d. included in current period GDP as consumption.