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ECON MACRO 5th Edition by William McEachern
النسخة 5الرقم المعياري الدولي: 978-1305631946ECON MACRO 5th Edition by William McEachern
النسخة 5الرقم المعياري الدولي: 978-1305631946 تمرين 7
(Pitfalls of Economic Analysis) Review the discussion of pitfalls in economic thinking in this chapter. Then identify the fallacy, or mistake in thinking, in each of the following statements:
a. Raising taxes always increases government revenues.
b. Whenever there is a recession, imports decrease. Therefore, to stop a recession, we should increase imports.
c. Raising the tariff on imported steel helps the U.S. steel industry. Therefore, the entire economy is helped.
d. Gold sells for about $1,200 per ounce. Therefore, the U.S. government could sell all the gold in Fort Knox at $1,200 per ounce to reduce the national debt.
a. Raising taxes always increases government revenues.
b. Whenever there is a recession, imports decrease. Therefore, to stop a recession, we should increase imports.
c. Raising the tariff on imported steel helps the U.S. steel industry. Therefore, the entire economy is helped.
d. Gold sells for about $1,200 per ounce. Therefore, the U.S. government could sell all the gold in Fort Knox at $1,200 per ounce to reduce the national debt.
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The common mistakes that arise in analyz...
ECON MACRO 5th Edition by William McEachern
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