Which of the following would lead to a rightward shift of the money demand curve?
a. A decrease in the price level
b. A decrease in output
c. An open market sale of bonds by the Fed
d. An increase in the price level
e. An open market purchase of bonds by the Fed
D
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A country's labor demand curve shifted to the right after the adoption of a new technology. This implies that the use of the new technology ________, assuming all else equal
A) reduced the marginal product of labor B) lowered the minimum wage that firms need to pay C) increased the minimum wage that firms need to pay D) increased the marginal product of labor
The difference between the monetarist and Keynesian views on discretionary monetary policy is that the monetarists
a. believe monetary policy is a stabilizing force and Keynesians believe it is primarily destabilizing. b. Keynesians think that monetary policy is always used effectively. c. believe monetary policy is a destabilizing force and Keynesians believe it is potentially stabilizing. d. favor "fine tuning" the economy by use of monetary policy while the Keynesians do not.
Price equals the minimum of long-run average cost
A. in a short-run equilibrium as well as in a long-run equilibrium. B. in a long-run equilibrium. C. whenever average revenue equals marginal cost. D. along a horizontal long-run supply curve, but not along an upward sloping long-run supply curve.
A decrease in net taxes at a given price level leads to
A. a decrease in aggregate demand. B. no change in aggregate demand. C. a decrease in aggregate supply. D. an increase in aggregate demand.