In the figure above, a movement from point A to point C can be the result of
A) an increase in the government budget deficit.
B) a decrease in expected profit.
C) a rise in the real interest rate.
D) an increase in expected profit.
E) a fall in the real interest rate.
E
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If the exchange rate measured in euros per dollar increases, then
A. neither currency appreciates or depreciates. B. the dollar depreciates relative to the euro. C. the euro depreciates relative to the dollar. D. the euro appreciates relative to the dollar.
The Keynesian economists do not believe that a cut in the marginal income tax rate will have strong effects on aggregate supply because they
a. do not believe that business investment will respond strongly to changes in the after-tax rate of return to capital. b. do not believe that labor supply will respond strongly to changes in the after-tax real wage. c. do not believe that labor demand will respond strongly to a change in the after-tax real wage. d. believe monetary policy will be too restrictive to allow strong output growth.
Which of the following is considered by economists to be the most fundamentally scarce?
a. money b. ideas c. needs d. food e. physical resources
In the market for foreign-currency exchange, the source of the supply of dollars is _________. The supply curve is _________ because _____________
Fill in the blank(s) with correct word