The explanation for the slope of
a. the supply of loanable funds curve is based on the logic that a higher real interest rate leads to higher saving.
b. the demand for loanable funds curve is based on the logic that a higher interest rate leads to higher saving.
c. the supply of loanable funds curve is based on the logic that a higher real interest rate leads to lower saving.
d. the demand for loanable funds curve is based on the logic that a higher interest rate leads to lower saving.
a
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Suppose the economy is operating below its full employment level. The Fed
A) can move the economy toward the full employment level by expanding the money supply to increase aggregate supply. B) can move the economy toward the full employment level by expanding the money supply to increase aggregate demand through both its direct and its indirect effects. C) can move the economy toward the full employment level by expanding the money supply to increase aggregate demand and to hold prices constant. D) is powerless to affect either aggregate demand or aggregate supply. Fiscal policy is needed.
If we compare a perfectly competitive market to a single-price monopoly with the same costs, the monopoly sells
A) the same quantity at a higher price. B) a smaller quantity at a higher price. C) a larger quantity at a lower price. D) a larger quantity at a higher price. E) a smaller quantity at the same price.
When glucose is high, cAMP is _____ : CAP _____ bind the lac operator, and RNA polymerase _____ bind the lac promoter.
Why do increases in potential output allow monetary policymakers to think "opportunistically" about disinflation?
What will be an ideal response?