Monetarists argue that the demand for money is unresponsive to interest rates, i.e. depends on income only, produces a
A) vertical LM function.
B) horizontal LM function.
C) vertical IS function.
D) horizontal IS function.
A
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Successful adjustment to external imbalance is likely to involve
a. expenditure-reducing policies b. expenditure-switching policies c. import compression d. devaluation of the national currency e. all of the above
Employee compensation accounts for about what percentage of national income?
a. 33 percent b. 42 percent c. 66 percent d. 90 percent
Since World War II, there have been ________ but ________ in the U.S. economy
a. no recessions; five depressions b. three depressions; no recessions c. recessions; no depressions d. depressions; no recessions
A situation in which there is a reduction in quantity supplied to zero when there is the slightest decrease in price is
A. perfectly elastic demand. B. perfectly elastic supply. C. perfectly inelastic demand. D. perfectly inelastic supply.