All of the following is likely to increase the supply of U.S. dollars in the forex market except?
A. If U.S. interest rates are low relative to foreign interest rates
B. If investors' confidence in foreign economies increases
C. If U.S. consumers prefer foreign goods to U.S. goods
D. If investors’ confidence in US investments increases.
D. If investors’ confidence in US investments increases.
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New Keynesian explanations for sticky prices and wages include
a. menu costs. b. efficiency wages. c. insider-outsider distinctions. d. productivity shocks. e. all but d.
Most economists support the idea of peak-load pricing on the grounds of
A. fairness in income distribution. B. efficiency in input usage. C. equality of opportunity. D. efficiency in output allocation.
These are the cost and revenue curves associated with a firm.
If the firm in the graph were producing Q2 and charging P2, it:
A. represents the perfectly competitive outcome. B. is an outcome that eliminates deadweight loss. C. is an efficient outcome. D. All of these statements are true.
The concept that increased government spending will lead to lower investment and consumer spending is referred to as the
A. inflationary effect. B. Keynesian effect. C. crowding-out effect. D. recessionary effect.