If French consumers spend 720 billion euros on consumption goods but French producers only produced 700 billion euros of consumption goods, then
a. French exports must have increased by 20 billion euros
b. wanted inventories in France end up sold as consumption goods
c. actual investment will be more than intended investment
d. actual investment will be the same as intended investment
e. intended investment will be realized
B
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Supply-side theory asserts that high marginal tax rates
A) encourage private saving. B) encourage business investment. C) discourage government expenditures. D) discourage work effort.
The National Bureau of Economic Research (NBER), a private group, is responsible or declaring when recessions begin and end. The Bureau of Economic Analysis (BEA), part of the federal government, might now want to take on this responsibility. Which one of the following is the most appropriate reason for the BEA's refusal?
A. Congress has established that its committees should be responsible for dating recessions. B. More economists work for the NBER than do for the BEA C. Because it is part of the government, the BEA could be pulled into politics with the dating of recessions D. The BEA does not have as much data s the NBER
Use the following table to answer the next question.YearNominal GDPReal GDPPrice Index15,2004,800--25,500--11235,7505,000--What is the Consumer Price Index in year 1?
A. 105.2 B. 111.5 C. 108.3 D. 109.6
Based on the figure below, the economy is initially at point A on the monetary policy reaction function (RF1) and the aggregate demand curve (AD1). The actual rate of inflation is ?' and the Federal Reserve's target inflation rate is ?*1. 
If the Federal Reserve lowers its target inflation rate to ?*2, then the Federal Reserve's monetary policy reaction function will ________ and the aggregate demand curve will ________.
A. shift to RF3; shift to AD2 B. shift to RF2; shift to AD2 C. shift to RF2: shift to AD3 D. shift to RF3: shift to AD3