At the point where the consumption schedule intersects the 45-degree line:
A. the MPC is 1.00.
B. the APC is 1.00.
C. saving is equal to consumption.
D. the economy is in equilibrium.
B. the APC is 1.00.
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A) falling; rising B) rising; falling C) falling; falling D) rising; rising
The Fed's quantitative easing is to purchase ________ to affect credit spreads
A) long-term securities B) short-term securities C) both long-term and short-term securities D) private assets
A . Explain why paper money doesn't have to be backed by gold or other valuable goods in order to be valuable. b. Is there a disadvantage to using fiat money? Explain
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