Tools used by economists include
a. historical study.
b. mathematical reasoning.
c. statistical inference.
d. All of the above are correct.
d
You might also like to view...
List and briefly explain the steps in how monetary policy affects real GDP in the AS/AD model using as your example the case when the Fed eases monetary policy to fight a recession
What will be an ideal response?
Insurance companies provide higher insurance premiums to plans with lower deductibles as a way of:
A. screening between types of drivers. B. avoiding moral hazard. C. reducing the lemons problem. D. optimizing information acquisition.
The marginal product curve rises when the marginal cost curve rises
a. True b. False Indicate whether the statement is true or false
Suppose the Fed purchases $5,000 in U.S. government securities from the Last National Bank and the Last National Bank's account at the Federal Reserve district bank increases by $5,000 . Which of the following is a result of this transaction? a. The Last National Bank's balance sheet shows a change in the composition of its assets. b. Both the Last National Bank's assets and its liabilities
rise by $5,000. c. Both the Fed's assets and its liabilities fall by $5,000. d. Only the Fed's liabilities change, while its assets remain unchanged. e. This transaction decreases the money supply.