A steep IS curve implies that

A) an increase in money supply will change output by a relatively small amount.
B) a decrease in taxes will change output by a relatively small amount.
C) changes in money supply will have large multiplier effects on output.
D) A and B.


A

Economics

You might also like to view...

When the price of hot dogs is $1.50 each, 500 hot dogs are sold every day. After the price falls to $1.35 each, 510 hot dogs are sold every day. At the original price, what is the price elasticity of demand for hot dogs?

A. 0.2 B. 66.67 C. 2 D. 5

Economics

Which combination of assets represents the most diversification?

A) holding corporate and Treasury bonds B) holding shares of Google and Yahoo C) holding shares of Google and Microsoft D) holding shares of Google along with Treasury bonds

Economics

Pre-merger notification requirements make merger policy more like a regulatory process

Indicate whether the statement is true or false

Economics

Someone is considered to exhibit risk-seeking behavior if he:

A. will always choose the riskier venture when given two choices. B. will only participate in high-risk situations. C. has a high willingness to take on situations with risk. D. has a low willingness to take on situations with risk.

Economics