7. Which of the following statements is/are true? a. Business Investment Spending occurs when individuals buy stock in the stock market b. Productivity is the United States grew very slowly between 1973 and 1996 c. Because of discouraged workers, the official unemployment rate is too high d. “Full employment” occurs when there is no frictional unemployment

7. Which of the following statements is/are true?
a. Business Investment Spending occurs when individuals buy stock in the
stock market
b. Productivity is the United States grew very slowly between 1973 and 1996
c. Because of discouraged workers, the official unemployment rate is too high
d. “Full employment” occurs when there is no frictional unemployment
by

1 Answer

Answer :

b. Productivity is the United States grew very slowly between 1973 and 1996
by

Related questions

Match List-I (Type of Unemployment) with List-II (Characteristics) and select the correct answer using the codes given below: L ist-I L ist -I I (Type of (Char acter ist ics) Unem ployment ) A. Seasonal I. Occurs during boom or recession in the economy B. Frictional II. An absence of demand for a certain type of workers C. Disguised III. Occurs when moving from one job to another D. Structural IV. Actual contribution by the additional labour is nil E. Cyclical V. Job opportunities during certain months in the year

Description : Match List-I (Type of Unemployment) with List-II (Characteristics) and select the correct answer using the codes given below: L ist-I L ist -I I (Type of (Char acter ist ics) Unem ... contribution by the additional labour is nil E. Cyclical V. Job opportunities during certain months in the year

Last Answer : (1) A-V, B-III, C-IV, D-II, E-I

The field of economics that is now called Macroeconomics grew out of the era of the Great Depression, which saw the economy experience a prolonged downturn and persistent high unemployment. Classical economics could not explain these problems because its models assumed all of the following EXCEPT (a) prices are flexible ; (b) recessions were self correcting (c) wages would adjust in the labor market, thereby eliminating unemployment (d) the government should intervene in the economy

Description : The field of economics that is now called Macroeconomics grew out of the era of the Great Depression, which saw the economy experience a prolonged downturn and persistent high unemployment. ... the labor market, thereby eliminating unemployment (d) the government should intervene in the economy

Last Answer : (d) the government should intervene in the economy 

Unemployment that arises due to regional occupational pattern of job vacancies, which does not match the pattern of workers availability and suitability, is known as: A. Frictional unemployment B. Structural unemployment C. Cyclical unemployment D. Demand pull unemployment

Description : Unemployment that arises due to regional occupational pattern of job vacancies, which does not match the pattern of workers availability and suitability, is known as: A. Frictional unemployment B. Structural unemployment C. Cyclical unemployment D. Demand pull unemployment

Last Answer : B. Structural unemployment

If the available workers are unaware of the jobs being offered and the employers are not aware of the available workers, such type on unemployment is called: A. Frictional unemployment B. Structural unemployment C. Disguised unemployment D. Demand pull unemployment.

Description : If the available workers are unaware of the jobs being offered and the employers are not aware of the available workers, such type on unemployment is called: A. Frictional unemployment B. Structural unemployment C. Disguised unemployment D. Demand pull unemployment.

Last Answer : A. Frictional unemployment

Unemployment that arises due to regional occupational pattern of job vacancies, which does not match the pattern of workers availability and suitability, is known as (a) Frictional unemployment ; (b) Structural unemployment ; (c) Cyclical unemployment ; (d) Demand pull unemployment.

Description : Unemployment that arises due to regional occupational pattern of job vacancies, which does not match the pattern of workers availability and suitability, is known as (a) Frictional unemployment ; (b) Structural unemployment ; (c) Cyclical unemployment ; (d) Demand pull unemployment.

Last Answer : (b) Structural unemployment

If the available workers are unaware of the jobs being offered and the employers are not aware of the available workers, such type on unemployment is called (a) Frictional unemployment ; (b) Structural unemployment; (c) Disguised unemployment ; (d) Demand pull unemployment.

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Last Answer : (a) Frictional unemployment ;

Disguised unemployment refers to the situation when (a) Marginal Productivity of the surplus workers is zero (b) Marginal productivity of the surplus workers is less than average productivity (c) Marginal productivity of the surplus workers is falling sharply (d) Marginal productivity of the surplus workers is falling sharply

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Last Answer : (a) Marginal Productivity of the surplus workers is zero

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Last Answer : (3) increases to compensate the firm for the current consumption foregone. Explanation: Internal rates of return are commonly used to evaluate the desirability of investments or projects. The higher a ... of return is greater than an established minimum acceptable rate of return or cost of capital.

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Last Answer :  increases to compensate the firm for the current consumption foregone.

6. Assume that Potential Real GDP equals $10,000. National Income is therefore $10,000. Of this, consumers will pay $2,000 in taxes, save $1,000, and spend $7,000 on consumer goods. Business Investment spending is $2000. In order to avoid recessions and inflation (to have equilibrium), the government should have a: a. balanced budget b. budget deficit of $1000 c. budget surplus of $1000 d. budget deficit of $2000 C C A A C

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Last Answer : c. budget surplus of $1000

4. For which of the following reasons might inflation cause Real GDP to grow slower than it otherwise would? a. Inflation makes everyone poorer b. Inflation reduces the value of consumer debt c. Inflation increases business investment spending d. Inflation decreases savings in financial form

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Full employment is a situation where - (1) there is no involuntary unemployment (2) there is involuntary unemployment (3) there is no voluntary unemployment (4) there is voluntary unemployment

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Full employment is a situation where (1) there is no involuntary unemployment (2) there is involuntary unemployment (3) there is no voluntary unemployment (4) there is voluntary unemployment

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Last Answer : there is involuntary unemployment

Okun’s law shows the relationship between the following : (a) Unemployment and Growth (b) Employment and Growth (c) Tax rate and Tax revenue (d) Inflation and Employment

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Under the liquidity trap conditions, an increase in money supply will (a) increase investment (b) increase level of employment (c) reduce the rate of interest (d) have no effect on interest rate, investment and employment

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Is the federal unemployment subsidy causing some workers to shun possible employment?

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In a free enterprise economy, resource allocation is determined by - (1) the pattern of consumers' spending (2) the wealth of the entrepreneurs (3) decision of the Government (4) the traditional employment of factors

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In a free enterprise economy, resource allocation is determined by (1) the pattern of consumers’ spending (2) the wealth of the entrepreneurs (3) decision of the Government (4) the traditional employment of factors

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Last Answer :  the pattern of consumers’ spending

.Induced investment depends on (a) Price level and rate of interest (b) Level of income and rate of interest © Level of employment and wage rate (d) Price level and wage rate.

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Unemployment that arises when there is a general downturn in business activity is known as (a) Frictional unemployment ; (b) Structural unemployment; (c) Cyclical unemployment ; (d) Disguised unemployment

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Which of the following is not a component of GDP? (a) Government spending (b) Investment © Interest (d) Net exports

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Stagflation refers to a situation which is characterized by - (1) stagnant employment and deflation (2) deflation and rising unemployment (3) inflation and rising employment. (4) inflation and rising unemployment

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Acording to Keynesian theory of income determination, at full employment, a fall in aggregate demand causes - (1) a fall in prices of output and resources (2) a fall in real gross National product and employment (3) a rise in real gross National product and investment (4) a rise in prices of output and resources

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Last Answer :  a fall in prices of output and resources

In a business, raw materials, components, work in progress and finished goods are jointly regarded as - (1) capital stock (2) inventory (3) investment (4) net worth

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Last Answer : inventory

Disguised unemployment means: A. Unemployment in agriculture B. Unemployment due to recession C. Unemployment due to downturn in business activity D. Marginal Productivity of Labor (MPL) is zero.

Description : Disguised unemployment means: A. Unemployment in agriculture B. Unemployment due to recession C. Unemployment due to downturn in business activity D. Marginal Productivity of Labor (MPL) is zero.

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Disguised unemployment means (a) Unemployment in agriculture ; (b) Unemployment due to recession ;(c) Unemployment due to downturn in business activity ; (d) Marginal Productivity of Labor (MPL) is zero.

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Last Answer : ;(c) Unemployment due to downturn in business activity ;

Full employment is the level at which there is A. Zero unemployment B. Normal rate of unemployment C. Less supply of labor D. Demand for goods is less than supply.

Description : Full employment is the level at which there is A. Zero unemployment B. Normal rate of unemployment C. Less supply of labor D. Demand for goods is less than supply.

Last Answer : C. Less supply of labor

Full employment exists when there is (a) Zero unemployment ; (b) Natural rate of unemployment ; (c) Least demand for labor (d) Least supply of labor

Description : Full employment exists when there is (a) Zero unemployment ; (b) Natural rate of unemployment ; (c) Least demand for labor (d) Least supply of labor

Last Answer : (b) Natural rate of unemployment

Full employment is the level at which there is (a) Zero unemployment ; (b) Normal rate of unemployment; (c) Lease supply of labor ; (d) Demand for goods is less than supply.

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Last Answer : (c) Lease supply of labor ;

Which of the following statements is correct? (1) Most workers will work for less than their reservation wage. (2) The reservation wage is the maximum amount any firm will pay for a worker. (3) Economic rent is the difference between the market wage and the reservation wage. (4) Economic rent is the amount one must pay to enter a desirable labour market.

Description : Which of the following statements is correct? (1) Most workers will work for less than their reservation wage. (2) The reservation wage is the maximum amount any firm will pay for a worker. (3) ... reservation wage. (4) Economic rent is the amount one must pay to enter a desirable labour market.

Last Answer : (3) Economic rent is the difference between the market wage and the reservation wage. Explanation: The difference between the actual market wage and the reservation wage is called economic rent. Therefore ... per-son becomes unemployed (The Goals of Macroeconomic Policy by Martin Prachowny. p. 58).

Which of the following statements is correct ? (1) Most workers will work for less than their reservation wage. (2) The reservation wage is the maximum amount any firm will pay for a worker. (3) Economic rent is the difference between the market wage and the reservation wage. (4) Economic rent is the amount one must pay to enter a desirable labour market.

Description : Which of the following statements is correct ? (1) Most workers will work for less than their reservation wage. (2) The reservation wage is the maximum amount any firm will pay for a worker. (3) ... reservation wage. (4) Economic rent is the amount one must pay to enter a desirable labour market. 

Last Answer :  Economic rent is the difference between the market wage and the reservation wage.

In an agricultural family all the family members are working the farmland of the family. Due to addition of two more person in the family they are also working in the farmland of the family with no additional increase in farm output. This type of unemployment is known as (a) Cyclical unemployment ; (b) Disguised unemployment ; (c) Frictional unemployment (d) Seasonal unemployment

Description : In an agricultural family all the family members are working the farmland of the family. Due to addition of two more person in the family they are also working in the farmland of the ... (a) Cyclical unemployment ; (b) Disguised unemployment ; (c) Frictional unemployment (d) Seasonal unemployment

Last Answer :  (b) Disguised unemployment ;

GDP at market prices is the sum of Consumption, Investment, Government Spending and Net Exports. „Net‟ exports is (a) Gross exports minus depreciation ; (b) Exports minus imports ; (c) Gross exports earnings minus capital inflow ; (d) Export minus imports of merchandize

Description : GDP at market prices is the sum of Consumption, Investment, Government Spending and Net Exports. „Net‟ exports is (a) Gross exports minus depreciation ; (b) Exports minus imports ; (c) Gross exports earnings minus capital inflow ; (d) Export minus imports of merchandize 

Last Answer : (b) Exports minus imports ;

Unemployment occurs when workers move from one job to another job? -General Knowledge

Description : Unemployment occurs when workers move from one job to another job? -General Knowledge

Last Answer : The answer is 'Frictionalunemployment'

Unemployment occurs when workers move from one job to another job? -Do You Know?

Description : Unemployment occurs when workers move from one job to another job? -Do You Know?

Last Answer : answer:

Unemployment occurs when workers move from one job to another job? -General Knowledge

Description : Unemployment occurs when workers move from one job to another job? -General Knowledge

Last Answer : answer:

Unemployment occurs when workers move from one job to another job?

Description : Unemployment occurs when workers move from one job to another job?

Last Answer : Frictional unemployment

Edited: If people did their jobs too well, would there be very high rate of unemployment?

Description : Edited: If people did their jobs too well, would there be very high rate of unemployment?

Last Answer : That’s a false presumption. Increased productivity helps the economy grow, which increases the demand for additional workers.