Unformatted text preview: ng? If so, how
fast are they rising? Are they rising by 1 percent, 3 percent, or 5 percent? Are prices falling? If so, how fast
are they falling?
As you read this chapter, think of the economy as a
patient in a doctor’s office. Instead of the doctor checking out the economy, an economist will take the economy’s “pulse,” “height and weight,” and other vital signs.
In later chapters you will learn more about the remedies
economists prescribe for an unhealthy economy. 286 11 (286-309) EMC Chap 11 11/17/05 6:05 PM Page 287 The following events occurred one day
1:13 P.M. Jones, the plumber, is just finishing up the job
at Kevin’s apartment. Kevin asks Jones how much he owes him.
Jones says, “$210.” “Okay,” says Kevin as he takes out his checkbook. “Oh, and by the way,” Jones adds, “could you pay me
• Why does Jones want to be paid in cash?
1:34 P.M. The economics professor is telling her class
that China has one of the highest gross domestic products of
any country in the world. A student rem...
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This document was uploaded on 01/16/2014.
- Winter '14