Refer to the graph above. If Canadian investors buy more U.S. financial and real assets, then:
A. The demand curve will shift left
B. The demand curve will shift right
C. The supply curve will shift left
D. The supply curve will shift right
B. The demand curve will shift right
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A tax hike ________ aggregate demand and ________ aggregate supply
A) increases; increases B) increases; decreases C) decreases; increases D) decreases; decreases E) does not change;increases
If the government finances its spending by issuing debt to the public, the monetary base will ________ and the money supply will ________
A) increase; increase B) increase; decrease C) decrease; increase D) not change; not change
The financial crises of the 1990s have conclusively proved that globalization causes financial crises
a. True b. False Indicate whether the statement is true or false
The most obvious benefit of specialization and trade is that they allow us to
a. work more hours per week than we otherwise would be able to work. b. consume more goods than we otherwise would be able to consume. c. spend more money on goods that are beneficial to society, and less money on goods that are harmful to society. d. consume more goods by forcing people in other countries to consume fewer goods.