With an upward sloping LM curve, a falling interest rate __________ money demand, so that an expansionary monetary policy is __________ than in the case of a vertical LM curve

A) raises; stronger
B) raises; weaker
C) has no effect on; stronger
D) has no effect on; weaker


B

Economics

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In Figure 3-7 above, when autonomous planned spending is $250, the equilibrium income level is

A) $1000. B) $1250. C) $1500. D) $2500.

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Judy has just bought a car that is made in Germany. As far as the U.S. balance of payments is concerned this purchase is a(n)

A) accounting identity. B) special draw. C) surplus item. D) deficit item.

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When a binding price floor is placed on a good, some suppliers who want to sell the good cannot do so

a. True b. False Indicate whether the statement is true or false

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No currency ever appreciated or depreciated under the Bretton Woods system as it was based on a system of fixed exchange rates

a. True b. False Indicate whether the statement is true or false

Economics