If the Fed buys government bonds on the open market, which of the following will occur?

A. The money supply will contract.
B. The market rate of interest on corporate bonds will increase.
C. The market rate of interest on government bonds will increase.
D. The interest rate will fall.


D. The interest rate will fall.

Economics

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When Sam's Scarves uses 2 knitting machines and employs 3 people, total revenue is $330 a day. When Sam's Scarves uses 2 knitting machines and employs 4 people, total revenue is $360 a day

The value of marginal product of the third worker is ________. A) $110 B) $30 C) $360 D) $90

Economics

An input's marginal revenue product is given by

a. the input's marginal expense times marginal revenue. b. the input's marginal expense times the input's marginal physical productivity. c. marginal revenue times the number of units employed. d. the input's marginal physical productivity times marginal revenue of the firm's output.

Economics

In the short run, the Phillips Curve indicates a(n):

a. inverse relationship between inflation and unemployment. b. direct relationship between inflation and unemployment. c. inverse relationship between GDP and unemployment d. direct relationship between GDP and unemployment.

Economics

The international trade response to a contractionary monetary policy will cause aggregate demand to shift ____ and aggregate supply to shift ____.

A. outward; outward B. inward; outward C. outward; inward D. inward; inward

Economics