Keynesians believe that an increase in the money supply may lead to
a. a decrease in investment
b. an increase in the interest rate
c. an increase in the price level
d. a decrease in nominal GDP
e. an increase in real GDP
E
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A rich nation will trade with a poor nation because the
A) poor nation has the absolute advantage in producing all products. B) poor nation has the comparative advantage in producing a product. C) rich nation has the comparative advantage in producing all products. D) rich nation has the absolute advantage in producing all products.
Recent activity in the area of civil rights has been a movement towards aggressive affirmative action
Indicate whether the statement is true or false
If the costs of negotiating and enforcing contracts are high relative to the benefits, buyers and sellers will have incentives to make economically efficient arrangements that increase value
Indicate whether the statement is true or false
Use the data in the following table for a private closed economy to answer the next question. All figures are in billions of dollars.Domestic Output or Income (RGDP = DI)Consumption$540$540560555580570600585620600640615660630The MPC and multiplier are, respectively,
A. 0.75 and 1.33. B. 0.80 and 1.25. C. 0.80 and 5. D. 0.75 and 4.