Higher interest rates will tend to reduce aggregate demand, other things being equal

a. True
b. False
Indicate whether the statement is true or false


True

Economics

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A commercial bank puts the funds it receives from various sources into

A) securities, cash assets and loans. B) loans, notes and coins in the bank's vault and deposits. C) reserves, deposits and loans. D) securities, cash assets and deposits.

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In calculating the IS curve, _______ is taken as exogenous

a. the interest rate. b. aggregate income. c. the price level. d. planned investment. e. a and d.

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Any increase in efficiency increases output available for distribution

a. True b. False Indicate whether the statement is true or false

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A household member's decision about how much labor to supply is most closely linked to

a. the supply of factors of production other than labor. b. technological change. c. the tradeoff between leisure and work. d. immigration trends.

Economics