In the Classical view, falling interest rates increase
A) government spending.
B) saving.
C) velocity.
D) investment.
B
You might also like to view...
Which of these would NOT be a factor that would permit the existence of monopoly power?
A. High levels of sunk costs B. Control of a scarce resource C. Diseconomies of scale in the production of the product D. All of these responses are correct
Which of the following correctly describes the spending multiplier?
a. The initial change in aggregate expenditure (either consumption, investment, government, or net exports) divided by the change in equilibrium output. b. An initial increase in aggregate demand divided by the change in equilibrium output. c. An initial decrease in aggregate demand divided by the change in equilibrium output. d. The multiple by which real GDP changes for a given initial change in spending.
Real-world continued inflation is probably a result of continued
A) increases in aggregate demand. B) decreases in aggregate demand. C) increases in aggregate supply. D) decreases in aggregate supply.
________ is an important element of corporate culture.
A. Establishing expectations of employees B. Establishing female participation in decision-making process C. Establishing dress code and political correctness in the workplace D. Ensuring proper coordination among employees