A lower interest rate ________ Ap and thus causes ________ the IS curve
A) raises, movement downward along
B) lowers, movement upward along
C) raises, a parallel rightward shift of
D) lowers, a parallel leftward shift of
A
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The security provided by the federal government on money in banks is called
A) deposit insurance. B) a hedge fund. C) Social Security. D) investment equity.
The spot exchange market is for ________ delivery, whereas a forward contract permits a firm to buy or sell currency for ________ delivery
A) future; immediate B) local; distant C) immediate; future D) long-term; short-term
If firms increase their investment spending by $10 million, then the economy's equilibrium output rises by exactly $10 million
a. True b. False Indicate whether the statement is true or false
If the price of inputs rises and foreign income rises:
a. Price index falls, and real GDP falls. b. Price index falls, and the change in real GDP is uncertain. c. The change in price index is uncertain, and real GDP rises. d. Neither the price index nor real GDP changes. e. Price index rises, and the change in real GDP is uncertain.