If the market price is below the equilibrium price, forces will come into play to
a. move the price lower.
b. move it to the equilibrium price.
c. move it above the equilibrium price.
d. increase the supply.
b. move it to the equilibrium price.
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What will be an ideal response?
If the Fed wants to lower the nominal interest rate in the short run, the Fed ________ the growth rate of the quantity of money
A) raises B) lowers C) first lowers and then raises D) does not change E) None of the above answers is correct because the premise of the question is wrong since the Fed cannot affect the nominal interest rate, only the real interest rate.
You are the liaison between the Federal Reserve Board and the U.S. Treasury Department. Your goal is to coordinate policy efforts to achieve full-employment output in the economy while keeping a fixed real interest rate
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Which one of the following groups has a below-average incidence of poverty?
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