Discuss the main factors affecting the position of the AA schedule
What will be an ideal response?
Changes in the domestic money supply; changes in the domestic price level; changes in the expected future exchange rate; changes in the foreign interest rate; and shifts in the aggregate real money demand schedule.
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If you purchase a share of stock from your friend who initially purchased the stock three years ago, your purchase of the stock represents a transaction in the secondary financial market
Indicate whether the statement is true or false
Two goods are considered substitutes only if a(n)
a. decrease in the demand for one leads to a decrease in the supply of the other b. increase in the demand for one leads to a decrease in the supply of the other c. increase in the price of one leads to an increase in the demand for the other d. decrease in the price of one leads to an increase in the demand for the other e. decrease in the supply of one leads producers to switch to production of the other
Which of the following is a measure of overall economic well-being for the United States?
A. The U.S. unemployment rate B. U.S. population growth C. The behavior of U.S. monopolies D. The price of fuel in Oregon
Economics is the study of how people:
A. vote for political leaders. B. make choices to produce and consume goods and services. C. establish social institutions that maximize well-being. D. develop value systems.