M2 is also referred to as which of the following?
A) currency
B) narrow money
C) near money
D) high powered money
E) none of the above
E
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Knowing that Coke controls 80 percent of the cola market and Pepsi controls 20 percent, we can conclude the cola market is:
A. perfectly competitive. B. monopolistically competitive. C. an oligopoly. D. a monopoly
According to the quantity theory of money, if an economy produces 100 units of output and has a money supply equal to $500, then if the money supply doubles while velocity remains unchanged, the new price level will
a. fall to $2.50 b. fall to $5.00 c. increase to $5.00 d. increase to $10.00 e. fall to $1.00
If the exchange rate between the Canadian dollar and the American dollar was fixed at 1.30 Canadian dollars per U.S. dollar and investors perceived Canadian bonds to be equal in value and risk to U.S. bonds, if the U.S. bonds are selling for $1,000 and have a 5 percent interest rate, assuming capital flows freely between the two countries what will be the price and the interest rate of the Canadian bonds?
What will be an ideal response?
If your real disposable income goes up by $200 per week, and your real consumption spending goes up by $160 per week, you have a marginal propensity to consume of
A. 1.2. B. 0.2. C. 0.8. D. 1.0.