In the long-run ISLM model and with everything else held constant, the long-run effect of an autonomous fall in consumption expenditure is to ________ real output and ________ the interest rate
A) increase; increase
B) increase; not change
C) not change; increase
D) not change; decrease
D
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Economists assume that
A) people put other people's interests ahead of their own. B) individuals behave in unpredictable ways. C) consumer behavior is explained by the existence of unlimited resources. D) optimal decisions are made at the margin.
Critics of stabilization policy argue that
a. policy affects aggregate demand quickly, but the effects on aggregate demand are long-lived. b. policy affects aggregate demand with a lag, and the effects on aggregate demand are long-lived. c. policy affects aggregate demand with a lag, but the effects are short-lived. d. policy does not affect aggregate demand.
Over ninety-five percent of all new businesses that open each year in the United States employ ________ workers
A) only one or two B) fewer than 20 C) 50 or more D) over 100
Question 1.Graph What is the price of cars if this is a nontrading (closed) economy?
a. $6,000 per car b. $8,000 per car c. $10,000 per car d. $14,000 per car