Refer to the accompanying figure.
Starting from long-run equilibrium at point C, a favorable inflation shock that decreases inflation from ? to ?1 will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies.
A. B; C
B. A; B
C. B; A
D. A; C
Answer: D
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An increase in net foreign investment is possible through a decrease in national saving or a decrease in domestic investment
Indicate whether the statement is true or false
A reduction in expected inflation will result in all of the following EXCEPT:
A) lower nominal interest rates B) lower real interest rates C) reduced demand for bonds D) increased supply of bonds
Because all of his friends stopped exclusively wearing black clothes, Doug wears anything but black clothes. This is known as
A) a negative sum game. B) collusion. C) positive market feedback. D) negative market feedback.
The unique alphabetic name that identifies a listed stock is known as the:
a. stock's nickname. b. stock's alpha sign. c. ticker symbol. d. alternative name. e. fixed call number.