Harry wants to buy an electric guitar. Which of the following would be the most efficient way for him to do this?
a. Sell a stock.
b. Withdraw money from a CD.
c. Take cash out of the bank.
d. Sell a U.S. Treasury bill.
c. Take cash out of the bank.
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Based on the figure below. Starting from long-run equilibrium at point C, a tax cut that increases aggregate demand from AD to AD1 will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies. 
A. D; C B. B; C C. B; A D. D; B
On any given day, ________ changes to achieve equilibrium in the money market
A) the nominal interest rate B) the price level C) the real interest rate D) the inflation rate E) real GDP
Government spending can ____________ certain elements of long-term growth
a. discourage b. negate c. encourage d. compromise
The slope of the aggregate demand curve illustrates that real GDP demanded will increase when
A. the price level rises. B. the price level falls. C. real income rises. D. real income falls.