The exchange rate affects the trade in goods and services between California and NewYork
a. True
b. False
Indicate whether the statement is true or false
False
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Which of the following causes a movement along the aggregate demand curve?
A) an increase in the price level B) an increase in government spending C) an increase in the money supply D) a fall in wages
Expansionary monetary policy:
A. decreases the interest rate and increases the price level. B. decreases the interest rate and decreases the price level. C. increases the interest rate and increases the price level. D. increases the interest rate and decreases the price level.
Under the gold standard, because all currencies had values fixed in units of gold
A. exchange rates were set to a crawling peg. B. exchange rates were effectively fixed. C. there were no exchange rates. D. none of these
Which of the following would shift the saving schedule upward?
A. A decrease in wealth B. A decrease in real interest rates C. Consumer expectations of rising prices of products D. Increased optimism about future incomes