According to the monetarist transmission mechanism, a decrease in the money supply __________ aggregate demand
A) directly increases
B) indirectly increases
C) directly decreases
D) indirectly decreases
E) equals the increase in
C
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In a game where individuals are asked to contribute to a public good, best response functions slope down because each individual believes the other will not give very much.
Answer the following statement true (T) or false (F)
Consider the labor market for short-order cooks. An increase in the wages paid to fast-food workers will cause
a. both equilibrium wages and equilibrium employment to increase in the market for short-order cooks. b. both equilibrium wages and equilibrium employment to decrease in the market for short-order cooks. c. equilibrium wages to increase and equilibrium employment to decrease in the market for short-order cooks. d. equilibrium wages to decrease and equilibrium employment to increase in the market for short-order cooks.
A four-firm concentration ratio measures
A) the price elasticity of demand in an industry. B) the price elasticity of demand among the four largest firms in an industry. C) the extent to which industry sales are concentrated among the four largest firms in the industry. D) the number of firms in an industry.
One of the possible reasons for high sales and steady profit margins of General Motors, Ford, and Chrysler during 1950s and 1960s were aggressive pricing and design innovations
Indicate whether the statement is true or false