How does contractionary monetary policy affect net exports in the short run?
A) Contractionary monetary policy reduces exports and increases imports.
B) Contractionary monetary policy increases exports and reduces imports.
C) Contractionary monetary policy increases exports and increases imports.
D) Contractionary monetary policy reduces exports and reduces imports.
A
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Starting from long-run equilibrium, a war that raises government purchases results in ________ output in the short run and ________ output in the long run.
A. lower; potential B. higher; potential C. higher; higher D. lower; higher
How do households make saving decisions?
What will be an ideal response?
In a socialistic system, most economic decisions are made by:
A. firms. B. consumers. C. stockholders. D. government planners.
Recall the Application about the demand and price for margarine to answer the following question(s).Recall the Application. Between 2000 and 2009, total U.S. consumption of margarine ________ and the price, in real terms, ________.
A. doubled; doubled B. decreased by roughly half; decreased by roughly half C. decreased by roughly half; stayed roughly the same D. doubled; stayed roughly the same