Other things the same, the aggregate quantity of goods demanded in the U.S. increases if
a. real wealth falls.
b. the interest rate rises.
c. the dollar depreciates.
d. None of the above is correct.
c
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The self-correcting tendency of the economy means that rising inflation eventually eliminates:
A. unemployment. B. exogenous spending. C. recessionary gaps. D. expansionary gaps.
The demand for computer chips is a downward sloping straight line. If there is an increase in the supply of computer chips, this change will
A) increase the price elasticity of demand for computer chips. B) decrease the price elasticity of demand for computer chips. C) have no effect on the price elasticity of demand for computer chips. D) have an unpredictable effect on the price elasticity of demand for computer chips.
Railroads attracted funds from foreign investors
Indicate whether the statement is true or false
The salary of the president of the United States in 2000 was $400,000 . In 1940, the president's salary was $75,000 . If the Consumer Price Index was 8.1 in 1940 and 100 in 2000 . the 1940 presidential salary measured in terms of the purchasing power of the dollar in 2000 would be:
a. less than $75,000. b. less than $400,000. c. approximately $668,850. d. approximately $926,000.