If GDP decreases, there will initially be
A) a surplus of money and the equilibrium interest rate will rise.
B) a surplus of money and the equilibrium interest rate will fall.
C) a shortage of money and the equilibrium interest rate will rise.
D) a shortage of money and the equilibrium interest rate will fall.
Answer: B) a surplus of money and the equilibrium interest rate will fall.
You might also like to view...
The conflict between the Vice President of Marketing and her sales staff arises because
a. the sales staff are too willing to offer discounts b. the Vice President does not want to negotiate aggressively enough c. the sales staff want to negotiate too aggressively d. the Vice President is more willing to offer discounts to make the sale
The official U.S. poverty standard was set in 1963 at $3,000 per year for a family of four.
Answer the following statement true (T) or false (F)
________ are costs that require a monetary payment.
A. Implicit costs B. Explicit costs C. Accounting costs D. Both Explicit costs and Accounting costs are correct.
All of the following industry types have market power except
A. oligopoly. B. monopoly. C. monopolistic competition. D. perfect competition.