Econ
Refer to the table, the fixed cost is
250
Banks hold 100% of their checking deposits as vault cash to ensure that bank runs do not occur
False
In economics the term gross means "additional" or "extra"
False
Only money can serve as a store of value
False
The Fed has complete control over the money supply
False
The money supply is the sum of the currency in circulation
False
Inflation usually increases during a recession and decreases during an expansion
Falsw
Commodity money
Has value independent of its use as money
A recession tends to cause the federal budget deficit to ________ because tax revenues ____ and government spending on transfer payments ____
Increase, fall, rise
Expansion fiscal policy involves
Increasing government purchases or decreasing taxes
The typical slope of a demand curve
Is negative
The "Fed" is the nickname for
The Federal Reserve System
Potential GDP is defined as
The level of GDP attained when all firms are producing at capacity
All members of the Federal Reserve Board of Governors are appointed by the president and confirmed by the senate
True
If prices rise on average in the US economy, the purchasing power of a dollar declines
True
If you received negative marginal utility from consuming the 4th slice of pizza, then your total utility from 4 slices of pizza must be less than your total utility from 3 slices of pizza
True
Productivity is commonly defined as output per hour of week
True
Scarcity applies to everyone regardless of income
True
The US dollar is not backed by any precious metal or commodity
True
The demand curve is a relationship between the price of a good and the quantity consumers are willing to buy at that price
True
The demand schedule is a table or list of the prices and corresponding quantities demanded of a particular good or service
True
The key to sustained economic growth is increasing labor productivity
True
Which of the following is a good example of variable costs
Wage payments for hourly workers
Which of the following statements is false
A demand curve is derived from different quantities produced
A price floor is
A minimum allowable price set by the government and it causes a surplus if effective
To economists, money
All of the above
Which of the following best explains the meaning of the term labor force
All people 16 years of age and over who are counted as employed or unemployed
Which of the following will not increase the demand for a good
An expectation of a decline in the product price in the future
When economists say that the demand for a product has decreased, they mean that
Consumers are going to purchase less at any given price
Which of the following often occurs as a result of a price ceiling
Consumers wanting to buy the product form long lines
A demand curve is always flat
False
A period of economic expansion ends with a business cycle trough
False
An individual who claims she is making a lot of money is using the word money according to the definition of the word used in economics
False
An inferior good is a good for which the quantity demanded decreases as the price increases, holding everything else constant
False
The addition to total variable cost when one more unity of output is produces is
Marginal cost
A grocery store sells a bag of potatoes at a fixed prices of $2.30, which of the following is a term used by economists to describe the money received from the sale of an additional bag of potatoes?
Marginal revenue
In the book HTRYB, the author talks about her four keys to create life-work balance, which of the following is NOT one of those four keys?
None of the above
Disposable personal income is defined as
Personal income less personal taxes
Rent control for apartments in NYC is an example of a
Price ceiling
The minimum wage is an example of a
Price floor
