Due to an increase in real GDP:
a. Real consumption rises and real gross private domestic investment falls.
b. Real consumption rises and real net exports fall.
c. Real gross private domestic investment rises and real net exports rise.
d. Real consumption rises and real gross private domestic investment remains the same.
e. None of the above.
.B
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Expansionary fiscal policy should raise the exchange rate of the dollar
Indicate whether the statement is true or false
There are two types of government expenditures
What will be an ideal response?
If nominal GDP is $600 billion and, on the average, each dollar is spent three times per year, then the amount of money demanded for transactions purposes will be:
A. $1,800 billion. B. $600 billion. C. $200 billion. D. $1,200 billion.
How do banks create money?
What will be an ideal response?