If money supply and money demand both increased:
a. nominal interest rates would increase and investment would increase
b. nominal interest rates would increase and investment would decrease.
c. nominal interest rates would decrease and investment would increase.
d. the change in nominal interest rates and investment would be indeterminate.
d
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Which one of the following twentieth-century nations eliminated the problem of scarcity?
A) Socialist Cuba B) Socialist China C) Fascist Italy D) The United States of America E) None of the above.
In 1997, the Thai government was unable to maintain its exchange rate given the amount of international reserves
Indicate whether the statement is true or false
Assuming a fully loaned-up banking system and a deposit expansion multiplier of 2, a $10 million government expenditure financed by sales of securities to the banking system will cause the money supply to
A) remain unchanged. B) rise by $5 million. C) rise by $10 million. D) rise by $20 million.
Define the following terms and explain their importance to the study of economics
a. monopolistic competition b. oligopoly c. cartel d. oligopolistic interdependence