The interest-rate effect is the impact on real GDP caused by the direct relationship between the interest rate and the:
a. price level.
b. exports.
c. consumption.
d. investment.
a
You might also like to view...
If the price elasticity of supply of a good is 2, a 200% increase in the price of the good, will change the quantity supplied by:
A) 50%. B) 100%. C) 200%. D) 400%.
Why don't the winners from free trade win the political argument?
What will be an ideal response?
If a demand curve goes through the point P = $6 and Qd = 400, then
A. $6 is the highest price consumers will pay for 400 units. B. $6 is the lowest price consumers can be charged to induce them to buy 400 units. C. 400 units are the most consumers will buy if price is $6. D. consumers will buy more than 400 if price is $6. E. both a and c
A temporary increase in the price of oil would
A. decrease short-run aggregate supply and leave long-run aggregate supply unchanged. B. increase both short-run and long-run aggregate supply. C. increase short-run aggregate supply and decrease long-run aggregate supply. D. decrease both short-run and long-run aggregate supply.