Everything else held constant, an increase in the time deposit ratio will result in ________ in the M1 money multiplier and ________ in the M2 money multiplier
A) an increase; an increase
B) no change; an increase
C) a decrease; a decrease
D) no change; a decrease
B
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A pure public good will never be provided by individuals acting on their own initiative
Indicate whether the statement is true or false
Suppose consumer cannot taste the difference between Miller Lite and Bud Light, but Miller Lite is sold in 12 ounce cans while Bud Light is sold in 8 ounce cans. In a graph with cans of Miller Lite on the horizontal and cans of Bud Light on the vertical axis, which of the following is the correct slope for this consumer's indifference curves:
A.
B.
C.
D.
If expected inflation falls, the long-run Phillips curve will
A) shift to the left. B) shift to the right. C) become negatively sloped. D) not be affected.
Suppose GDP is $4,000 billion and aggregate expenditure is $3,750 billion. Inventories will
a. increase by $250 billion b. increase by $375 billion c. increase by $400 billion d. decrease by $250 billion e. decrease by $375 billion