Ceteris paribus means "Let the buyer beware."
Answer the following statement true (T) or false (F)
False
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If the Federal Reserve sells $1,000 in bonds and, as a result, the money supply decreases by $2,500, what is the required reserve ratio?
a. 0.4 b. 2.5 c. 0.5 d. 0.1 e. 0.2
The largest single holder of the U.S. national debt after the U.S. government is
A. The foreign sector. B. U.S. businesses. C. The private sector. D. None of the choices are correct.
What should happen to the equilibrium price and quantity in a market as a result of a tariff on imports?
A. Equilibrium price and quantity should both go down. B. Equilibrium price should go up, and equilibrium quantity should go down. C. Equilibrium price and quantity should both go up. D. Equilibrium price should go down, and equilibrium quantity should go up.
From 1975 to 1995, the value of the dollar in terms of yen fell from over 300 yen per dollar to about 100 yen per dollar. Considering the impact of this alone, this would likely:
A. make the U.S. AD curve steeper. B. shift the U.S. AD curve to the left. C. shift the U.S. AD curve to the right. D. make the U.S. AD curve flatter.