Which of the following events will decrease the domestic real interest rate in an open economy?
A. A decrease in the domestic saving.
B. An increase in the perceived riskiness of investing in the domestic economy.
C. An increase in domestic saving.
D. An decrease in net capital inflow.
Answer: C
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The above figure shows a labor market with minimum wage equal to $16. In this figure, what area equals the deadweight loss?
A) area A B) area B C) area C D) area D E) area E
Exhibit 3-5 Supply for Tucker's Cola Data Quantity supplied per week(millions of gallons) Price pergallon 6 $3.00 5 2.50 4 2.00 3 1.50 2 1.00 1 .50 As shown in Exhibit 3-5, the price and quantity supplied by sellers of Tucker's Cola have a(n) ____ relationship.
A. direct. B. inverse. C. negative. D. zero.
The concept of holding reserves, such as gold, that are less than the value of the total deposits
A. is known as non-credit banking. B. is known as fractional reserve banking. C. has been illegal since the passage of the Financial Services Modernization Act of 1999. D. None of these are correct.
Over the last 50 years, has the ratio of household production to gross domestic product in the United States increased or decreased? Consider the effect of the increased number of women working outside the home, and the effect of advances in
technology in household production such as microwaves, coffee makers, power tools, etc.