Everything else held constant, a decrease in autonomous planned investment spending will cause the IS curve to shift to the ________ and aggregate demand will ________
A) right; increase
B) right; decrease
C) left; increase
D) left; decrease
D
You might also like to view...
Only one of the following statements is correct. The statements compare perfectly competitive (PC) markets and monopolistically competitive (MC) markets. Which statement is correct?
A) Productive efficiency is achieved in both PC and MC markets. Allocative efficiency is achieved only in MC markets. B) Allocative efficiency is achieved only in PC markets. Productive efficiency is achieved only in MC markets. C) Productive efficiency and allocative efficiency are both achieved in PC markets. Neither is achieved in MC markets. D) Allocative efficiency is achieved in both PC and MC markets. Productive efficiency is achieved only in PC markets.
Answer the following statements true (T) or false (F)
1. There is a correlation between the level of economic development of a nation and the status of its balance of trade. 2. The balance of payments is more like an income statement than a balance sheet. 3. If a U.S. farmer ships grain to Italy, this constitutes a debit transaction in Italy’s balance of payments. 4. Overseas investments by U.S. citizens are recorded as credit items in the financial account of the U.S. balance of payments. 5. Since unilateral transfers do not involve trading of goods or services, they are not included in the current account.
Matt is offered a job driving the campus shuttle bus from 4 p.m. to 6 p.m. each Monday. His reservation wage for this job is $7 per hour. Now suppose the director offers Matt $50 per hour, but also announces that the earnings from the job will be divided equally among Matt and the 99 other students who live in Matt's dorm. Will Matt accept this job?
A. Yes, although accepting the job means a negative surplus for Matt, still it's better than having no job. B. Yes, accepting the job means a positive surplus for Matt. C. No, although accepting the job means a positive surplus for Matt, still it's not the best option for him. D. No, accepting the job means a negative surplus for Matt.
When producers do not produce the efficient amount of a product because they are unable to charge consumers what they are willing to pay for it, then we have a:
A. Demand-side market failure B. Supply-side market failure C. Competitive market D. Monopolistic market