A spending shock typically involves a dramatic reduction in spending in virtually all sectors of the economy simultaneously
a. True
b. False
B
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Refer to Figure 11-1. The marginal product of the 3rd worker is
A) 57. B) 19. C) 15. D) 11.
Which of the following statements is false?
A. The Wilshire 5000 is a stock index that consists of the stocks of about 6,500 firms. B. Instead of buying a mutual fund that consists of various stocks picked by a fund manager you can buy a mutual fund that consists of the stocks that make up a particular stock index. C. The term Sypders stands for "Standard & Poors Direct Receipts." D. When an investor buys Spyders they are said to "buy the market."
Macroprudential supervision policies try to prevent a leverage cycle by changing capital requirements so that they ________ during an expansion and ________ during a downturn
A) increase; decrease B) increase; increase C) decrease; increase D) decrease; decrease
Refer to the given graph. A movement from a to b along C 1 might be caused by a(n):
A. recession.
B. wealth effect of an increase in stock market prices.
C. increase in income tax rates.
D. increase in real GDP.