If Hong Kong continues to devote more resources to accumulating capital than the United States, Hong Kong will continue to grow more rapidly than the United States

Indicate whether the statement is true or false


TRUE

Economics

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If velocity does not change and the quantity of money grows at the same rate as does real GDP, then in the long run

A) the real interest rate is less than the nominal interest rate. B) the inflation rate equals zero. C) the nominal interest rate equals zero. D) the inflation rate equals the growth rate of the quantity of money. E) the nominal interest rate is less than the real interest rate.

Economics

The gold in Fort Knox backs all U.S. currency

Indicate whether the statement is true or false

Economics

If a consumer buys less gasoline because gas prices increased by 100 percent, even though all other prices have also increased by 100 percent, then

A) the consumer is paying too close attention to changes in relative prices. B) wages and prices are too flexible. C) the consumer has been fooled by money illusion. D) inflation is not a problem in the economy.

Economics

When the rate of cyclical unemployment is zero, the:

a. natural rate of unemployment must also be zero. b. rate of frictional unemployment must be negative. c. economy must have entered a recessionary stage. d. Keynesian aggregate supply curve must be horizontal. e. economy is considered to be at full employment.

Economics