Companies new to exporting most frequently suffer over-commitment by top management in taking on the initial difficulties and financial requirements of exporting.
a. true
b. false
b. false
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If workers and firms expect increases in future prices, it can lead the short run aggregate supply curve to shift left
a. True b. False Indicate whether the statement is true or false
Most economists agree that the self-correcting mechanism works
a. very slowly. b. very rapidly. c. rapidly in the short run and slowly in the long run. d. slowly in the short run and rapidly in the long run.
Other things remaining the same, an increase in the real risk-free interest rate causes the velocity of money to:
a. Rise. b. Fall. c. Not change.
Consumption = $1,000; investment = $200; net exports = -$50; taxes = $230; private saving = $225; and national saving = $150. Refer to Scenario 26-3. For this economy, government purchases amount to
a. $330. b. $280. c. $305. d. $310.