A ________ in the real interest rate ________ consumption expenditure and shifts the consumption function ________
A) fall; increases; downward
B) rise; decreases; upward
C) fall; increases; upward
D) fall, decreases; upward
E) rise, increases; downward
C
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What is the real value of money?
A) the ability of shop at market prices B) the quantity of goods it can buy C) its compounded earnings in banks D) its face value
The European Union is the oldest, largest, and most ambitious integration agreement in the world today
Indicate whether the statement is true or false
The command economy of World War I (1914–18) possessed which of the following traits?
(a) Decentralized decision-making in the markets (b) The creation of many state agencies (c) Volunteers for the armed forces (d) Centralized decision making by bureaucrats
A positive effect of advertising for society is that it:
A. Increases market share for the dominant firm in the industry B. Provides useful information to reduce search cost for consumers C. Raises barriers to entry into the industry and protects existing firms D. Creates price leadership and gives firms guidance in dealing with rivals