Easy monetary policy and tight fiscal policy lead to
A. roughly unchanged real interest rates.
B. roughly unchanged real interest rates only when Ricardian equivalence holds; otherwise, low real interest rates.
C. high real interest rates.
D. low real interest rates.
Answer: D
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Check collection and clearing happen
A) at the bank where the check was written. B) only at private clearing centers. C) at the Fed and at private clearing centers. D) only at the Fed.
A university's basketball gymnasium is never more than half-full during basketball games. This implies a. the ticket price is above the equilibrium price. b. the ticket price is below the equilibrium price. c. the ticket price is at the equilibrium price
d. nothing about the equilibrium price.
The price of a foodstuff falls and the total revenue (received by farmers for selling the foodstuff) rises. What could explain this?
A) Increased supply and elastic demand. B) Real income rises and the foodstuff is an inferior good. C) Real income rises and the foodstuff is a normal good. D) Increased supply and inelastic demand. E) none of the above
Game theory tells how to win at games of chance.
Answer the following statement true (T) or false (F)