Investment spending is
A. inversely related to real disposable income.
B. directly related to the interest rate.
C. inversely related to the interest rate.
D. directly related to real disposable income.
Answer: C
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Refer to the figure below. If both firms offer reduced rates, each earns ________, and if both firms keep their rates high, each earns ________.
A. 500; 300 B. 300; 500 C. 300; 50 D. 50; 300
Which of the following would be considered to be the most liquid?
A. money market mutual funds B. checkable deposits C. savings deposits D. small time deposits
Most spells of unemployment are short, and most unemployment observed at any given time is short-term
a. True b. False Indicate whether the statement is true or false
GDP and GNP are identical when
a. exports and imports exactly balance. b. all domestic production is by domestically owned producers and no foreign production is carried out by domestic producers. c. production by domestic producers in other countries is greater than production by foreign producers domestically. d. there are no taxes.