When the Fed increases the money supply and creates inflation, it erodes the real value of the unit of account and makes it more difficult for investors to sort successful from unsuccessful firms
a. True
b. False
Indicate whether the statement is true or false
True
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The figure above shows a consumer is indifferent between points
A) d and c. B) a, b, c, d, and e. C) e and d. D) b and a.
If a demand curve shifts to the left, then
A) quantity demanded has increased. B) demand has increased. C) quantity demanded has decreased. D) demand has decreased.
For the U.S. economy, the largest expenditure category is:
A) government expenditures. B) net export expenditures. C) personal consumption expenditures. D) investment expenditures.
Refer to Figure 36.4 for the dollar-yen foreign exchange market. A decrease in demand from D1 to D2 could have been caused by
A. A poor performance by the Japanese stock market compared to the U.S. stock market. B. A quota placed on Japanese television imports to the United States. C. A decrease in the demand for U.S. computers. D. An increase in the number of Japanese visitors to the United States.