1) since 1941 personal taxes have:
a.risen absolutely, but declined as a percentage of personal income.
b.risen both absolutely and as a percentage of personal income.
c.fallen absolutely, but risen as a percentage of personal income.
d.fallen both absolutely and as a percentage of personal income.
2) If the current price level was such that the aggregate quantity demanded exceeded
the aggregate quantity supplied, we would expect:
A.inflation to occur.
B.the aggregate demand curve to shift rightward.
C.the aggregate demand curve to shift leftward.
D. the aggregate supply curve to shift leftward.
3) A merger between a maker of household detergents and a fast food chain would be an
example of:
A.a horizontal merger.
B.an interlocking directorate.
C.a conglomerate merger.
D.a tying contract.
4) For which of the following income-maintenance programs is aggregate spending the
greatest?
A.Medicare
B.Social Security
C.unemployment compensation
D.TANF
5) which of the following statements applies to a purely competitive producer?
a.it will not advertise its product.
b.in long-run equilibrium it will earn an economic profit.
c.its product will have a brand name.