Suppose consumer confidence declines and as a result, consumer spending decreases by 4 billion dollars.
Other things equal, if households spend 0.75 of each extra dollar of income and save the remaining 0.25, by how much will spending decrease during the third round through the circular flow?
A) 1 billion
B) 2.25 billion
C) 3 billion
D) 4 billion
Question 2
The Laffer curve is a curve showing
A) output as a function of the tax rate.
B) tax revenue as a function of the tax rate.
C) government expenses as a function of how liberal the government is.
D) the tax rate as a function of government expenses.
An example showing a modification that has occurred as a result of biological evolution
A melanistic jaguar at the Henry Doorly Zoo. Melanism is the result of a dominant allele and remains
Uranus revolves around the Sun once every 84 Earth years. Its average distance from the Sun is rough
The Food Label Provides Valuable Consumer Information Manufacturers must adhere to strict labeling
Growth of Government Spending, 1870–2009
Increase in total spending in presidential campaigns, 1976-2020