Suppose you read in the French daily Le Monde that saving in France in 2003 was greater than the intended investment French businesses had hoped to make. You would conclude that in 2003 the French economy was
a. in equilibrium, and no change occurred in its national income
b. not in equilibrium, and its national income rose
c. not in equilibrium, and its national income fell
d. in equilibrium, and its national income rose
e. in equilibrium, and its national income fell
C
You might also like to view...
Factors that cause a decrease in the demand for credit at a given real interest rate cause:
A) the credit demand curve to shift to the right. B) an upward movement along the credit demand curve. C) the credit demand curve to shift to the left. D) a downward movement along the credit demand curve.
Total efficiency units of labor in an economy increases if ________
A) the average number of hours worked by each worker decreases B) each worker becomes more productive C) each worker earns a lower wage D) the amount of capital available to each worker diminishes
The bond demand curve slopes down because
A) interest rates decline as bond prices decline. B) when bond prices are low, inflation is low. C) the lender is willing and able to purchase more bonds when the price of the bond is low. D) the borrower is willing and able to purchase more bonds when the price of the bond is low.
Prior to attending college, Marvin is offered a lucrative four-year contract as an actor in a daytime soap opera. Assuming that acting and attending college are Marvin's preferred alternatives and that he must choose between the two, his opportunity cost of attending college after receiving the offer ________________, making him ____________ likely to attend college than before he received the
offer. A) increases; less B) decreases; more C) stays the same; equally likely D) increases; more E) ?decreases; less