If other factors are held constant, an increase in the price level

A. induces people to spend their money faster.
B. causes the real value of the money to increase.
C. causes desired net export spending to rise.
D. causes desired net export spending to fall.


Answer: D

Economics

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If a country tries to stimulate the economy with fiscal policy, the effects will be exchange rate

a. depreciation, lower interest rates, and a small increase in aggregate demand. b. depreciation, higher interest rates, and a small decrease in aggregate demand. c. appreciation, lower interest rates, and a small increase in aggregate demand. d. appreciation, higher interest rates, and a small increase in aggregate demand.

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The discount rate is the interest

A. rate at which the central banks lend to the United States Treasury. B. rate at which the Federal Reserve Banks lend to commercial banks and thrift institutions. C. yield on long-term government bonds. D. rate at which commercial banks and thrifts lend to the public.

Economics

Answer the following statements true (T) or false (F)

1. Macroeconomics is concerned with the study of the nation-wide market for specific goods like oranges. 2. The comment that "taxes must be reduced for the good of the economy" is an example of a normative economic statement. 3. "The role of government in the economy should be kept to a minimum" is an example of a positive economic statement. 4. The economizing problem for individuals arises from the conflict between having relatively unlimited time and relatively limited jobs to do.

Economics

The relationship between the number of hours a student studies for an exam and the exam grade is most likely graphed as

A. a line sloping up from lower right to upper left. B. a line sloping up from lower left to upper right. C. a horizontal or flat line. D. a line sloping down from upper left to lower right.

Economics