Which of the following will cause the LM curve to shift to the right?

A) An increase in investment
B) An increase in money demand
C) A decrease in velocity
D) An increase in the money supply


D

Economics

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A year-long drought that destroys most of the summer's crops would be considered a:

A. short-run supply shock. B. long-run demand shock. C. long-run supply shock. D. short-run demand shock.

Economics

An increase in input costs in the production of electric automobiles caused the price of electric automobiles to rise. Holding everything else constant, how would this affect the market for gasoline-powered automobiles (a substitute for electric

automobiles)? A) The supply of gasoline-powered automobiles would increase and the equilibrium price of gasoline-powered automobiles would decrease. B) The demand for gasoline-powered automobiles would increase and the equilibrium price of gasoline-powered automobiles would increase. C) The demand for gasoline-powered automobiles would decrease because consumers could afford to buy fewer gasoline-powered automobiles. D) The demand for gasoline-powered automobiles would increase and the equilibrium price of gasoline-powered automobiles would decrease.

Economics

An economic principle that explains why countries produce different goods and services is

A) absolute advantage. B) trade as a percentage of GDP. C) comparative advantage. D) NAFTA.

Economics

If population is expanding at the same rate as real output:

A. real per capita output will increase. B. real per capita output will decrease. C. real per capita output will remain unchanged. D. living standards will increase.

Economics