In the short run, which of the following actions lower the interest rate?
A) a decrease in the demand for money
B) an increase in the demand for money
C) a decrease in the quantity of money
D) a decrease in bond prices
A
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Refer to Figure 10-9. Consider the budget constraint BC1. If the price of DVDs is $20 and the price of CDs is $10, what is the consumer's income?
A) $120 B) $240 C) $360 D) $480
When a monopsony coal mining firm has control over employment in the rich coal fields of Harlan County, Kentucky,
a. it will pay its workers the market equilibrium wage b. workers will work for the firm that pays the higher wage rate c. coal buyers will continue to buy coal from other counties d. coal miners will only have one employment option e. wages will be determined only by the demand for labor
If a nation borrows $250,000 each in the first, fourth, and fifth year and repays $50,000 each in the second and the third year, the value of government debt at the end of the fifth year is _____
a. $500,000 b. $650,000 c. $100,000 d. $250,000
Consider again the Solow growth model and the following production function: a). If A = 2, L = 20,000, and K = 400, what is output? b). Suppose the labor force grows by 5% so that it is now 21,000. By how much does output increase? c). Starting again with the conditions in part a, what is capital increases by 5%, so that it is now 420. By how much does output increase?