In the short-run macro model, rising GDP and a falling interest rate are most likely to be the result of a(n)
a. increase in the money supply
b. decrease in the money supply
c. increase in government purchases
d. decrease in government purchases
e. decrease in taxes
A
You might also like to view...
State and define all the components of the GDP of an economy when it is measured by using the expenditure method
Which of the following statements is correct about the roles of economists?
a. Economists are best viewed as policy advisers. b. Economists are best viewed as scientists. c. In trying to explain the world, economists are policy advisers; in trying to improve the world, they are scientists. d. In trying to explain the world, economists are scientists; in trying to improve the world, they are policy advisers.
An increase in the productivity of labor induces
A. an increase in the cost of labor. B. a firm to offer a higher wage for workers since the workers are now more productive. C. an increase in the demand for labor. D. a firm to hire fewer workers since fewer workers are needed with the increase in productivity.
Data analysis or interpretation mistakes (that econ can help one avoid)
What will be an ideal response?