In the neoclassical model, an increase in the savings rate a. causes a more than proportionate increase in the capital to labor ratio. b. results in a less than proportionate increase in the capital to labor ratio. c. results in a proportionate increase in the growth rate of output. d. None of the above […]
Date: September 10th, 2020
The Granger Cases of the 1870s (a) sealed the fate of the U.S. railroad system, even though the cases were covered under a case involving a grain elevator. (b) came before the U.S. Supreme Court because state legislatures had passed laws in the 1870s to allow state agencies to control various aspects of railroad operation, […]
Date: September 10th, 2020
Which of the following is correct? Whenever the monetary authority pegs the interest rate, a. it must be ready to adjust the interest rate on demand. b. the monetary authority must exchange money for bonds on demand. c. it has control of the quantity of money. d. None of the above ANSWER B
Date: September 10th, 2020
If the central bank targets interest rates, then the LM curve is a. vertical. b. horizontal. c. upward sloping. d. downward sloping. ANSWER B
Date: September 10th, 2020
Which of the following statements is (are) correct? During the existence of the Euro (1999-), a. borrowing from abroad financed large excesses of merchandise imports over exports in the U.S. b. the United States has continued to be the world’s largest debtor nation. c. the dollar initially appreciated but then depreciated strongly since 2001 against […]
Date: September 10th, 2020
Assuming a flexible exchange rate, then an expansionary monetary policy in the foreign exchange market will shift a. the demand curve for foreign exchange to the right b. the demand curve for foreign exchange to the right and the supply curve of foreign exchange to the left. c. both the demand curve for foreign exchange […]
Date: September 10th, 2020
Stagflation at the end of the 1970s was marked by increasing inflation and unemployment. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
Thomas Jefferson supported the Land Ordinances of 1785 and 1787. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
The steel industry successfully lobbied for protection from foreign competition. Consequently, the steel-producing industries and those industries using steel benefited. Indicate whether the statement is true or false ANSWER False (The steel-using industries lost.)
Date: September 10th, 2020
Which of the following factors are important in the determination of growth rates of output in the intermediate run? a. Variations in the rates of capital formation. b. Changes in population growth. c. Changes in money growth. d. All of the above. e. None of the above. ANSWER A
Date: September 10th, 2020
