The IS curve will shift to the right if: a. the government deficit decreases. b. consumer confidence decreases. c. the MPC decreases. d. taxes decrease. e. the money supply increases. ANSWER D
Date: September 10th, 2020
Public funding is not a part of colonial history. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
The phenomenon of crowding-out suggests that the positive impact of budget deficits on economic activity are reduced by ________. A) the impact produced by government spending on the environment B) an increase in national savings C) the interest rate effects associated with federal deficits D) the increase in pork barrel projects deficit spending entails […]
Date: September 10th, 2020
Within rich economies, there is strong evidence of convergence ________. A) for regions within a country B) with developing economies C) leading to military conflict D) of capital stocks, rather than output ANSWER A
Date: September 10th, 2020
With respect to an auction market, a. labor and output are assumed to be traded in markets that are not always in equilibrium. b. all participants make decisions based on announced nominal wage rates. c. all participants make decisions based on announced product prices. d. All of the above e. None of the above […]
Date: September 10th, 2020
One criticism of the new classical model is that it does not have an adequate explanation for a. rising prices and output. b. short-run effects of monetary policy on output. c. how optimizing individuals form their expectations. d. the Great Depression. e. both c and d. ANSWER D
Date: September 10th, 2020
The U.S. lowered tariffs in the 1850s because of a budget surplus. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
In the United States, an official dating of business cycles a. is executed by the Federal Reserve Bank of New York. b. originates with the Department of Commerce. c. was started by the Bureau of Labor Statistics Institute. d. is performed by the Business Cycle Dating Group of the National Bureau of Economic Research. […]
Date: September 10th, 2020
Today’s corporate structures have very little in common with the joint-stock companies of colonial America. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
Assume that the Fed is targeting interest rates. If a desirable new type of bank deposit increases the demand for money at a given level of income and the rate of interest, then a. shocks to money demand will affect income. b. a negative shock to money demand will not affect income. c. inflation will […]
Date: September 10th, 2020
