When the AD curve is relatively flat, the Fed
A. is only willing to accept small changes in output to keep the price level stable.
B. is willing to accept large changes in output to keep the price level stable.
C. is not willing to accept any changes in output to keep the price level stable.
D. is willing to accept large changes in the price level to keep output stable.
Answer: B
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In the foreign exchange market, an increase in the supply of dollars could be the result of
A) an increase in the expected future exchange rate. B) a decrease in the U.S. interest rate differential. C) a decrease in the exchange rate. D) an increase in the exchange rate. E) an increase in the U.S. interest rate differential.
Refer to Table 3-4. The table above shows the demand schedules for cashews of two individuals (Jordy and Amy) and the rest of the market. At a price of $10, the quantity demanded in the market would be
A) 2 lbs. B) 48 lbs. C) 50 lbs D) 52 lbs.
Suppose that trade in asset is not allowed but the two countries sign a treaty that guarantee the sending of 25 tons of kiwi in good time by the high output country in that season. What will the outcome of such a treaty? Explain why
What will be an ideal response?
Under the Articles of Confederation,
a. only the federal government could issue paper money. b. only the federal government had the power to levy taxes. c. the federal government was ultimately responsible any debts incurred by the states. d. the federal government had a difficult time negotiating military and economic treaties with other nations. e. All of the above.