How can the Federal Reserve, by expanding the money supply and lowering interest rates, alleviate a recession?
What will be an ideal response?
Lowering interest rates and making more money available encourage businesses to borrow and invest. Likewise, these actions encourage consumers to purchase more goods, especially big-ticket items and houses.
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A firm in a competitive input market can
A) hire workers at the going wage. B) hire additional workers only by raising wages. C) hire additional workers at lower wages because those who are still unemployed are anxious to work. D) hire additional workers only after a long search process.
A beneficial supply shock such as a breakthrough in technology _____
Fill in the blank(s) with the appropriate word(s).
A(n) ________ industry has a single, unique product and blocked entry.
A. monopolistic B. monopolistically competitive C. perfectly competitive D. oligopolistic
During the antebellum period, U.S. consumers increased their demand for mass-produced, standardized and simple goods
Indicate whether the statement is true or false