Consider the following sequence of events: price level ? ? demand for money ? ? equilibrium interest rate ? ? quantity of goods and services demanded ? ?his sequence explains why the
a. money-supply curve is vertical.
b. aggregate-demand curve shifts leftward in response to a monetary injection.
c. aggregate-demand curve shifts rightward in response to a monetary injection.
d. aggregate-demand curve slopes downward.
d
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Net exports are defined as:
A. GDP minus exports. B. exports plus imports. C. imports less exports. D. exports less imports.
Consider a law that limits women's access to certain "dangerous" occupations like coal mining and military combat service. Such a law would likely reduce women's wages because:
A. women would be overqualified for "non-dangerous" jobs. B. labor supply in female-intensive occupations would increase. C. women would be less likely to obtain college degrees. D. comparable worth would no longer exist between men's and women's occupations.
Suppose that you borrow $10,000 for one year, and at the end of the year, you must repay $10,450. Also, during that year inflation was 2.5%. The real interest rate is
A. 12.0 percent. B. 7.0 percent. C. 2.0 percent. D. 4.5 percent.
Refer to the information provided in Figure 2.4 below to answer the question(s) that follow.
Figure 2.4According to Figure 2.4, as the economy moves from Point D to Point B, the opportunity cost of hybrid cars, measured in terms of motorcycles,
A. initially increases, then decreases. B. increases. C. remains constant. D. decreases.