If a hurricane were to wipe out the majority of the eastern seaboard in the United States:
A. neither the short-run nor long-run aggregate supply curves would be affected.
B. only the long-run aggregate supply curve would shift left.
C. only the short-run aggregate supply curve would shift left.
D. the long-run and short-run aggregate supply curves would both shift left.
Answer: D
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Suppose there's an 80% chance of a stock rising by 20% and a 20% chance of it falling by 40%. What is the expected rate of return on the stock?
A) -40% B) -20% C) 8% D) 16%
The above figure shows three different Engel curves. Rank them in terms of income elasticity
What will be an ideal response?
Supply-side theory suggests that
A) aggregate supply does not depend on labor productivity. B) increased government spending does not increase aggregate demand. C) lower tax rates may not reduce overall tax revenues. D) increased labor productivity may not increase real output.
Which of the following is true of other checkable deposits?
a. They are checking account deposits at commercial banks and do not pay any interest. b. They are accounts at financial institutions that pay interest and give the depositor check-writing privileges. c. They comprise solely of demand deposits at mutual savings banks. d. They are not included in the M1 money supply. e. They are savings deposits that earn interest at savings and loan associations.