An increase in the money supply will raise equilibrium GDP if the
A) IS curve is not vertical.
B) IS curve is negatively sloped.
C) position of the IS curve depends on the level of real money balances.
D) position of the LM curve depends on the level of real money balances.
B
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If you believe that a worker should be paid on the basis of what he or she produced, you believe in
A) the egalitarian principle. B) the productivity standard. C) the benefits standard. D) the comparative worth principle.
What separates a sterilized foreign exchange market intervention from an unsterilized intervention?
What will be an ideal response?
GDP that is not reported as real GDP is
A. an average of GDPs over a period of time, unadjusted for inflation. B. an average of GDPs over a period of time, adjusted for inflation. C. the actual GDP for that year, adjusted for inflation. D. the actual GDP for that year, unadjusted for inflation.
In June there are 30,000 people classified as unemployed and the size of the labor force is 600,000. The only change between June and July is that 10,000 of the unemployed give up looking for work. Which of the following is true?
A. In June the unemployment rate was 6% and in July the unemployment rate was 3.8%. B. In June the unemployment rate was 3.8% and in July the unemployment rate was 6%. C. The unemployment rate in both June and July was 5%. D. In June the unemployment rate was 5% and in July the unemployment rate was 3.39%.