In the figure above, if the interest rate is 4 percent, there is a $0.1 trillion excess
A) quantity of money and the interest rate will rise.
B) quantity of money and the interest rate will fall.
C) demand for money and the interest rate will fall.
D) demand for money and the interest rate will rise.
D
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Answer the next question based on the following data. The following national income data are in billions of dollars.1Consumption of fixed capital$4382Taxes on production and imports3263Compensation of employees2,3474Rents145Interest2876Proprietors' income2427Corporate profits2978Personal consumption expenditures2,5829Gross private domestic investment66910Government purchases81511Net exports-7812Net foreign factor income4613Statistical discrepancy50The expenditures approach to GDP calculation can be done by adding ________.
A. 8 through 13 B. 8 through 11 C. 2 through 7 D. 1 through 7
In analyzing the decision to shut down in the short run we assume that the firm's fixed costs are
A) nonmonetary opportunity costs. B) sunk costs. C) implicit costs. D) capital costs.
According to the law of demand, a demand curve:
a) Is downward sloping. b) Is upward sloping. c) Can slope either upward or downward based on consumer behavior. d) Is a horizontal, or flat, line.
Suppose that in a month the price of movie rentals increases from $2 to $2.20. At the same time, the quantity of movie rentals supplied increases from 100 to 110. The price elasticity of supply for movie rentals (calculated using the initial value formula) is:
A. 0.02. B. 0.2. C. 1. D. 50.