Which of the following would increase public saving?
A) an increase in taxes
B) an increase in transfers
C) an increase in government purchases
D) All of the above would increase public saving.
Answer: A
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Refer to the figure below. Moving from demand curve D1 to demand curve D2 illustrates a(n):
A. decrease in quantity demanded. B. increase in quantity demanded. C. increase in demand. D. decrease in demand.
As the interest rate decreases, the quantity of money people will hold:
a. decreases. b. increases. c. stays the same. d. rises and then falls. e. falls and then rises.
Inflation-targeting is a practice in which the central bank is legally required to focus only on keeping: a. inflation low
b. unemployment low. c. investment rates high. d. interest rates high.
Refer to the information provided in Figure 2.4 below to answer the question(s) that follow.
Figure 2.4According to Figure 2.4, as the economy moves from Point B to Point D, the opportunity cost of motorcycles, measured in terms of hybrid cars,
A. increases B. remains constant. C. initially increases, then decreases. D. decreases.