A temporary adverse supply shock directly causes
A) a shift down and to the left of the IS curve.
B) a shift to the left of the FE line.
C) a shift down and to the right of the LM curve.
D) a shift up and to the right of the IS curve.
B
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If a manager is not the owner, the manager:
A. does not receive the full benefit nor the full cost of his or her decisions. B. bears the full cost of bad decisions. C. receives the full benefit of good decisions. D. None of the statements is correct.
Refer to Figure 6.4. If a market experiences excess demand and fails to maximize total surplus, a maximum price must have been set at:
A. A. B. B. C. C. D. There is not sufficient information.
The value of a dollar
A) is its face value. B) is set by the government. C) is its purchasing power. D) remains constant over time.
In the foreign exchange market, how does a change in expected future U.S. exchange rate affect the demand for dollars?
What will be an ideal response?