Which of the following would cause an outward shift of aggregate demand?
a) an increase in interest rates
b) an increase in tax rates
c) the expectation of higher income
d) improvements in technology
e) an increase in imports
c) the expectation of higher income
You might also like to view...
For a perfectly competitive firm, the long-run supply curve is the long-run average cost curve.
Answer the following statement true (T) or false (F)
What must be true for a consumer to buy a good or service?
A) The price must be equal to or less than the marginal benefit. B) The total benefit received must equal the total spent to buy the good or service. C) The consumer must be able to obtain some consumer surplus. D) The consumer must not be able to produce the product. E) The price must be equal to or greater than the marginal benefit.
For each watch Switzerland produces, it gives up the opportunity to produce 50 pounds of cheese. Germany can produce one watch at a cost of 100 pounds of cheese. Which of the following is true?
a. The opportunity cost of producing watches is lower in Switzerland. b. The opportunity cost of producing cheese is lower in Switzerland. c. The opportunity cost of producing watches is the same in both countries. d. It is impossible to compare costs because the two countries are not the same size. e. In Germany, the cost of a pound of cheese is one watch.
Until Federal Reserve Notes are actually used by the District Federal Reserve Banks, the notes are
a. considered counterfeit b. not counted as part of the money supply c. considered specie currency d. devalued during open market operations e. held in a detention bank in San Francisco