If some non-price level determinant causes total spending to decrease, then the effect on aggregate demand will be a:
a. movement upward along the curve
b. movement downward along the curve.
c. shift to the left.
d. shift to the right.
c
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The above figure shows the PPF for a country that produces computers and computer factories. The nation's production possibilities frontier is PPF0. At which of the following production points would the economy grow most rapidly?
A) Point A B) Point B C) Point C D) It makes no difference among the three points because they are all production efficient. E) More information is needed to answer the question.
If the exchange rate falls from 120 yen per dollar to 110 yen per dollar, the dollar has depreciated
Indicate whether the statement is true or false
In the last 20 years, all of the following measures of the manufacturing sector have declined except:
a. total employment in manufacturing. b. manufacturing employment as a share of the labor force. c. manufacturing output as a share of GNP. d. total manufacturing output.
Government spending and income taxes can affect the level of
A. aggregate demand. B. income taxes. C. exports. D. investment.