Which of the following is correct?
A. Both conservative economists and Keynesians believe the crowding-out effect is small.
B. Both conservative economists and Keynesians believe the crowding-out effect is large.
C. Conservative economists believe the crowding-out effect is small, while Keynesians believe it is large.
D. Conservative economists believe the crowding-out effect is large, while Keynesians believe it is small.
D. Conservative economists believe the crowding-out effect is large, while Keynesians believe it is small.
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The percentage rate of change in the price level is called the
A) Consumer Price Index. B) rate of inflation. C) chain-weighted price index. D) rate of absorption.
An increase in real GDP leads to
A) a movement upward along the demand for money curve but no shift of the curve. B) a movement downward along the demand for money curve but no shift of the curve. C) neither a shift in the demand for money curve nor a movement along the curve. D) a leftward shift in the demand for money curve. E) a rightward shift in the demand for money curve.
Total expenditures can be written as C + I + G + (X ? IM)
a. True b. False Indicate whether the statement is true or false
According to Keynesians, an increase in the money supply will have its least impact on GDP when the aggregate demand curve intersects:
A. the horizontal portion of the aggregate supply curve. B. the vertical portion of the aggregate supply curve. C. the upward sloping portion of the aggregate supply curve. D. either the horizontal or upward sloping portion of the aggregate supply curve.