An increase in spending that results from expansionary ________ policy causes the interest rate to ________, everything else held constant
A) fiscal; rise
B) fiscal; fall
C) incomes; rise
D) incomes; fall
A
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A market system (market economy) depends on the market to
A. find the most efficient way of using resources. B. determine how large the budget deficit should be. C. decide how much government regulation there should be. D. provide minimum incomes for everyone. E. All of the responses are correct.
Aimee sells hand-embroidered dog apparel over the Internet. Her annual revenue is $128,000 per year, the explicit costs of her business are $42,000, and the opportunity costs of her business are $30,000. What is her accounting profit?
A) $12,000 B) $56,000 C) $86,000 D) $98,000
Creating market power through the use of tariffs or quotas can
A) drive price to the monopoly level. B) increase the world price of the good that is targeted. C) increase government revenue. D) All of the above.
The short run is defined as the time frame:
A. in which there are fixed factors of production. B. less than one year. C. less than three years. D. in which there are no fixed factors of production.