Well-functioning financial markets promote
A) inflation.
B) deflation.
C) unemployment.
D) growth.
D
You might also like to view...
According to David Ricardo, an increase in government spending without any tax increase will not increase aggregate demand because
A) consumers will increase their consumption proportionately more than Keynesian economists believe they will. B) consumers will save less than they otherwise would have. C) consumers will consume less and save more to prepare for increased taxes in the future. D) the private sector is more likely than the public sector to spend any extra income on national defense.
If the exchange rate falls, then the expected profit from holding the currency
A) does not change. B) increases. C) decreases. D) can either increase or decrease.
A nation's standard of living, as measured by real GDP per person, increases:
A. only if the share of population employed increases. B. if either average labor productivity and/or the share of population employed increase. C. only if both average labor productivity and the share of population employed increase. D. only if average labor productivity increases.
Which of the following is an accurate statement?
a. Market allocation is illegal because it helps a business make a profit. b. Market allocation is illegal because it reduces competition. c. Market allocation is illegal because it is based on price-sensitivity. d. Market allocation is illegal because it is caused by elasticity of demand.