An increase in interest rates affects aggregate demand by
A. Shifting the aggregate demand curve to the right, increasing real GDP and lowering the price level
B. Shifting the aggregate demand curve to the left, reducing real GDP and lowering the price level
C. Shifting the aggregate supply curve to the left, decreasing real GDP and increasing the price level
B. Shifting the aggregate demand curve to the left, reducing real GDP and lowering the price level
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Refer to Table 19-1. Suppose that a simple economy produces only four goods and services: sweatshirts, dental examinations, coffee drinks, and coffee beans. Assume all of the coffee beans are used in the production of the coffee drinks. Using the information in the above table, nominal GDP for this simple economy equals
A) 3,090 units. B) $7,250. C) $8,750. D) $9,750.
Financial intermediation supports economic growth and development by bringing together numerous savers and investors in growing and increasingly complex markets
Indicate whether the statement is true or false
When a firm wants to borrow directly from the public to finance the purchase of new equipment, it does so by selling shares of stock
a. True b. False Indicate whether the statement is true or false
An increased willingness to lend money to a company can be shown by the
A. Demand for loanable funds shifting to the right. B. Supply of loanable funds shifting to the left. C. Supply of loanable funds shifting to the right. D. Demand for loanable funds shifting to the left.