Holding constant risk and the real returns available abroad, higher domestic real interest rates ________ capital inflows, ________ capital outflows, and ________ net capital inflows.
A. increase; decrease; increase
B. increase; increase; decrease
C. increase; increase; increase
D. decrease; decrease; decrease
Answer: A
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DSGE models are
A) similar to RBC models but allow for shocks other than productivity shocks. B) similar to RBC models, but government spending shocks play a major role. C) similar to Keynesian models except in the long run. D) similar to Keynesian models except in the short run.
The "rule of 70" is a simple rule
a. (70 divided by the growth rate) that approximates the number of years it will take for income to double at various growth rates. b. (70 multiplied by the growth rate) that approximates the number of years it will take for income to double at various growth rates. c. (70 divided by the percentage of population over age 70) that can be used to approximate a nation's growth of real GDP. d. (70 multiplied by the percentage of population over age 70) that can be used to approximate a nation's growth of real GDP.
What causes the natural rate of unemployment to exist?
What will be an ideal response?
To construct the Consumer Price Index, the Bureau of Labor Statistics must
A. Find out what is in the typical consumer market basket on the basis of what producers produce. B. Find out why people buy, what they buy, and how the prices of what they buy change. C. Conduct producer surveys to determine how much prices rise. D. Find out what people buy with their incomes and how the prices of what they buy change.