Which of the following events would shift money demand to the right?
a. an increase in the price level
b. a decrease in the price level
c. an increase in the interest rate
d. a decrease in the interest rate
a
You might also like to view...
An exogenous rise in government expenditures will have the same effect on GDP as an equal rise in either autonomous ________ or autonomous ________
A) consumption; investment B) taxes; consumption C) savings; investment D) taxes; investment
When perfectly competitive firms in an industry are earning positive economic profits, a. we would expect entry into the industry
b. we would expect stability in the industry, since it is in long run equilibrium. c. we would expect exit from the industry. d. we do not know whether there would tend to be entry, exit, or stability in the industry.
Distinct from any other market structure, the firm in long-run perfect competition ends up producing where
a. P = MR = MC = ATC, and AFC = 0 b. P > MR = MC = ATC, and AFC = 0 c. P < MR = MC < ATC, where ATC = (AFC + AVC + MC) d. P = MR = MC = ATC, where ATC = (AFC + AVC) e. P > MR and ATC > MC, where MC = (AFC + AVC)
A risk-averse person has
a. a utility function whose slope gets flatter as wealth rises. This means they have increasing marginal utility of wealth. b. a utility function whose slope gets flatter as wealth rises. This means they have diminishing marginal utility of wealth. c. a utility function whose slope gets steeper as wealth rises. This means they have increasing marginal utility of wealth. d. a utility function whose slope gets steeper as wealth rises. This means they have diminishing utility of wealth.