According to Keynesian coordination failure theory, the primary causes of business cycles are
A) shocks to aggregate demand.
B) monetary factors.
C) technology shocks.
D) waves of self-fulfilling optimism and pessimism.
D
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Refer to Table 16-3. If Julie charges $10 per hour, what is the value of the consumer surplus received by Dawn?
A) $2 B) $10 C) $12 D) $22
If the interest rate increases, there is a(n)
A) increase in the demand for money. B) decrease in the demand for money. C) increase in the quantity of money demanded. D) decrease in the quantity of money demanded.
Which of the following is an important factor in exchange rate movements in the very short run?
a. Changes in relative GDPs. b. Changes in relative tastes for foreign goods. c. Changes in relative interest rates. d. Changes in inflation. e. None of the above.
If the cross elasticity between two goods, X and Y, is positive, then we know they are
a. substitute goods b. complementary goods c. unrelated goods d. inferior goods e. normal goods