Spending VCU4 on real-world goods and services causes the nation's:
a. Demand for real goods and services to rise and monetary base to rise.
b. Demand for real goods and services to remain the same and M2 money supply to remain the same.
c. Demand for real goods and services to remain the same and M2 money multiplier to rise.
d. Demand for real goods and services to rise and monetary base to remain the same.
.D
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Refer to the above figure. The figure represents the consumption function for a consumer. Point A represents
A) positive saving. B) negative consumption. C) autonomous consumption. D) zero saving.
Refer to Table 2-3. Assume Dina's Diner only produces sliders and hot wings. A combination of 80 sliders and 100 hot wings would appear
A) along Dina's production possibilities frontier. B) inside Dina's production possibilities frontier. C) outside Dina's production possibilities frontier. D) at the vertical intercept of Dina's production possibilities frontier.
Public choice theory assumes that those involved in the public sector are generally motivated by
A) public spirit. B) altruism. C) the desire to achieve allocative efficiency. D) the same factors involved in the private sector. E) a and b
Refer to the information provided in Figure 1.3 below to answer the question(s) that follow.
Figure 1.3Refer to Figure 1.3. If a 45-degree line were also graphed, the existing line shown on the graph would ________ it.
A. lie below B. lie above C. cross D. The answer is indeterminate from this information.