If your income and the price level both rise by 5 percent, and you think you now have more real income, you are suffering from
A) diminishing marginal expectations.
B) leakages.
C) injections.
D) money illusion.
D
You might also like to view...
A decrease in aggregate demand causes a decrease in ________ only in the short run, but causes a decrease in ________ in both the short run and the long run
A) the price level; real GDP B) the price level; the price level C) real GDP; real GDP D) real GDP; the price level
The demand for labor schedule is the same as ________
A) real wage line B) supply of labor schedule C) the minimum wage rate in that economy D) the marginal product of labor schedule
The institution that is responsible for maintaining international monetary stability is the:
A. International Monetary Fund. B. World Bank. C. United Nations. D. International Reserve Bank.
Graphically, a kinked demand curve is
a. more elastic to the right of the kink than to the left b. more inelastic to the right of the kink than to the left c. more inelastic to the left of the kink than to the right d. present when there is a monopoly e. bowed-in or bowed-out, depending on the kink