An increase in the money supply will cause which of the following to occur?

A. a rightward shift of the aggregate demand curve
B. a leftward shift of the aggregate supply curve
C. a rightward shift of the aggregate supply curve
D. a leftward shift of the aggregate demand curve


Answer: A

Economics

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In performing which of its primary functions does money solve the problem of the double coincidence of wants?

A) medium of exchange B) unit of account C) store of value D) barter system E) money supply

Economics

Suppose water rates in Podunk rise by 100%. The water consumption in Podunk will tend to

A) remain unchanged, because water is a necessity of life. B) decrease substantially overnight. C) decrease more substantially over time, as residents discover substitutes for water. D) decrease, and therefore lead to a lower price of water.

Economics

What is one kind of monopoly that the U.S. government generally permits?

a. the telephone company b. professional sports leagues c. low-price gasoline d. certain kinds of medications

Economics

Explain what factors determine how much investment is required to maintain a given level of capital per effective worker

What will be an ideal response?

Economics