If the government of a country uses contractionary monetary policy:
A) its currency will depreciate.
B) its currency will appreciate.
C) its currency will neither depreciate nor appreciate.
D) its currency will initially appreciate then depreciate.
B
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Empirical research indicates that the expansion of Medicaid has led to a number of unintended consequences including
a. an increase in the incidence of low-birth weight babies among participants. b. fewer pregnant women seeking prenatal care. c. an increase in the birthrate among the eligible population. d. all of the above.
Prior to the housing crisis of 2008, the federal government had been trying to ______ lending standards for low income people to ______ home ownership.
a. raise; decrease b. raise; increase c. lower; decrease d. lower; increase
In order to be classified as a recession, a contraction of general economic activity must last at least
A) one year. B) six months. C) one period. D) one quarter. E) None of the above because recessions do not have a minimum length.
Assume that the government of a nation prohibits producers from extracting crude oil from some domestic oil fields. Which of the following will be witnessed in the market for crude oil?
a. The domestic and world price of crude oil would remain unaffected. b. The domestic price of crude oil would increase. c. Oil import from the world market would decline. d. The world price of crude oil would increase.