homework 1-key - Homework1ECO215SPRING2008CUTLER

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Homework 1 - ECO 215 – SPRING 2008 – CUTLER Due at the beginning of class on Monday, February 4 th MULTIPLE-CHOICE questions – Please, select the letter which best answers each question, and enter it into the space provided in front of each question number. Each multiple-choice question is worth 0.5 point. ___1 In open economies, (a) Saving and investment are necessarily equal. (b) As in a closed economy, saving and investment are not necessarily equal. (c) Saving and investment are not necessarily equal as they are in a closed economy. (d) Saving and investment are necessarily equal contrary to the case of a closed economy. (e) None of the above. Answer: C ___2 National income equals GNP (a) less depreciation, less net unilateral transfers, less indirect business taxes. (b) less depreciation, plus net unilateral transfers, plus indirect business taxes. (c) less depreciation, less net unilateral transfers, plus indirect business taxes. (d) plus depreciation, plus net unilateral transfers, less indirect business taxes. (e) less depreciation, plus net unilateral transfers, less indirect business taxes. Answer: E ___3 GNP equals GDP (a) minus net receipts of factor income from the rest of the world.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
(b) plus receipts of factor income from the rest of the world. (c) minus receipts of factor income from the rest of the world. (d) plus net receipts of factor income from the rest of the world.
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 5

homework 1-key - Homework1ECO215SPRING2008CUTLER

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online