Answer the next question on the basis of the following table in which columns (1) and (2) indicate the transactions demand (Dt) for money and columns (1) and (3) show the asset demand (Da) for money.(1)Interest Rate(2)Dt(3)Da12%$100$010100208100406100604100802100100If the money supply is $160, the equilibrium interest rate will be
A. 8%.
B. 4%.
C. 10%.
D. 6%.
Answer: D
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Economic growth is defined as
A) an increase in the nation's population. B) a sustained expansion of production possibilities. C) an increase in the wage rate. D) a decrease in the rate of inflation. E) an increase in employment.
The following equations represent the demand and supply for silver pendants
QD = 50 - 2P QS = -10 + 2P What is the equilibrium price (P) and quantity (Q - in thousands) of pendants? A) P = $20; Q = 15 thousand B) P = $50; Q = 10 thousand C) P = $10; Q = 30 thousand D) P = $15; Q = 20 thousand
Gross Domestic Product (GDP) is defined as the market value of:
A) all goods and services sold during the year by domestic and foreign producers. B) all final consumer goods produced during the year by domestic and foreign suppliers. C) all intermediate goods produced during the year by domestic and foreign suppliers. D) all final goods and services produced within the boundaries of an economy during the year by domestic and foreign-supplied resources.
Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6Refer to Figure 4.6. At equilibrium, producer surplus is area
A. A + B + C. B. A. C. E + F + G. D. G.