If the supply of a good decreased, what would be the effect on the equilibrium price and quantity?
A. Price would increase, and quantity would decrease.
B. Price would decrease, and quantity would decrease.
C. Price would increase, and quantity would increase.
D. Price would decrease, and quantity would increase.
Answer: A
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Open market operations involve:
a. opening the discount window b. buying stocks in the stock market. c. buying and selling government securities in the open market. d. opening new markets for commodities. e. selling failed banks to other banks.
Increasing productivity in a society
A. always results in a better quality of life as society views it. B. can never make a nation poorer. C. guarantees that personal services will cost less. D. makes improved personal services available to everyone.
In markets with perfect competition, no need for buyers & sellers to search for "true" market value of an asset; it is continuously revealed by transaction prices of _____________________.
Fill in the blank(s) with the appropriate word(s).
What are the differences between classical theory and what Keynes believed?
What will be an ideal response?