Derek decides to forego a major appliance purchase and save the money. He transfers $2,100 from his checking account to his money market mutual fund. As a result of this transfer,
a. both M1 and M2 decrease by $2,100.
b. M1 increases by $2,100 and M2 increases by $2,100.
c. M1 decreases by $2,100 and M2 increases by $2,100.
d. M1 decreases by $2,100 and M2 stays the same.
d
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Advances in computing power is an example of:
A) labor-saving technological changes. B) skill-biased technological changes. C) unskilled-biased technological changes. D) labor-complementary technological changes.
What are the five most important variables that cause the market demand curve for labor to shift?
What will be an ideal response?
Porter's five forces portray
a. A zero-sum game b. A game where your profitability comes at the expense of someone else's c. The ability of market participants to create a larger total pie d. Only A&B
The modern synthesis view of fiscal policy stresses
a. how easy it is to time fiscal policy changes so they exert a stabilizing influence on the economy. b. the ineffectiveness of fiscal policy, even during periods of widespread unemployment. c. the difficulties involved in timing fiscal policy changes so they will exert a stabilizing impact on the economy. d. that automatic stabilizers do not help smooth fluctuations in the economy.