"The global financial crisis has had a considerable impact on China's export growth, which will continue to show weakness with recession in the US and Europe," said a report by JP Morgan & Co. If Chinese exports continue to decline, the AE curve will shift __________, the price level will __________ in the short run and real GDP will __________ in the short run.

a) upward; decrease; decrease
b) downward; decrease; decrease
c) upward; decrease; not change
d) downward; decrease; not change


b) downward; decrease; decrease

Economics

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The U.S. market for interbank borrowing and lending is called the:

a. Primary market. b. Secondary market. c. Money market. d. Eurodollar market. e. Federal funds markets.

Economics

If the MPC is 0.5, and the government cuts spending by $400b, the overall effect on GDP will be:

A. a decrease of $800b. B. a decrease of $400b. C. an increase of $800b. D. an increase of $400b.

Economics

Labor productivity is defined as

A. the amount of output a typical worker turns out in an hour of work. B. the amount of output the best worker turns out in a day of work. C. the amount of output improvement in a year of work. D. the amount of average output improvement for a team in a year of work.

Economics

Refer to Figure 23.1. The additional training costs of moving from Level I to Level II are:

A. $260. B. $440. C. zero. D. $180.

Economics