A higher interest rate makes _____ more attractive. Therefore the quantity of loanable funds supplied increases
Fill in the blank(s) with correct word
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A residual demand curve:
A. shows the relationship between the market price and the quantity demanded by consumers at each price. B. shows the relationship between a firm's output and the market price given the prices charged by the firm's rivals. C. shows the relationship between a firm's output and the market price given the outputs of the firm's rivals. D. shows the remaining demand for a good after a firm's rivals have sold their output.
The natural rate of unemployment will rise for all of the following reasons EXCEPT:
A) more generous terms for unemployment compensation. B) an increase in union membership. C) an increase in labor productivity that translates into greater demand for labor. D) a surge in the number of young and inexperienced workers.
Based on the figure below. Starting from long-run equilibrium at point C, a tax increase that decreases aggregate demand from AD1 to AD will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies.
A. D; C B. D; B C. A; B D. B; C
The consumption function shows the relationship between
A. real disposable income and planned real consumption. B. interest rates and planned real consumption. C. employment and planned real consumption. D. the price level and planned real consumption.