In the Keynesian model, a Federal Reserve sale of government securities in the open market will
a. raise the level of income and lower the interest rate.
b. raise the level of income and raise the interest rate.
c. lower the level of income and the interest rate.
d. lower the level of income and raise the interest rate.
D
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The supply curve illustrates that firms:
A. increase the quantity supplied of a good when its price rises. B. decrease the quantity supplied of a good when input prices rise. C. decrease the supply of a good when its price rises. D. increase the supply of a good when its price rises.
Over the last four decades, our unemployment rate has generally been between
A. 2-6 percent. B. 4-8 percent. C. 6-10 percent. D. 10-14 percent. E. 14-18 percent.
Which of the following factors influence the position of the long-run aggregate supply curve?
A. the supply of money B. government spending C. taxes D. the level of full-employment output
A medium of exchange is
A. any asset that sellers will accept as payment. B. an asset that is used to settle future debts. C. the thing traded when barter takes place. D. a measure by which prices are expressed.