Suppose k = 0.2. With a $200 billion increase in the money supply, the LM curve shifts
A) to the right by $40 billion.
B) to the left by $160 billion.
C) to the left by $200 billion.
D) to the right by $1000 billion.
D
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The arrangements that individuals have with each other to exchange goods is known as
A) demand. B) supply. C) a market. D) complements.
The purchase of a virtual item from an online company with a virtual currency causes the nation's:
a. Monetary base to rise. b. M2 money supply to fall. c. M2 money multiplier to fall. d. Monetary base to remain the same.
Higher education subsidies in the form of the federal government's student loan program
a. induce more people to attend colleges and universities. b. keep interest rates low on student loans. c. cause lenders to take on more risk. d. All of the above are correct.
The sales tax is generally considered to be a regressive tax.
Answer the following statement true (T) or false (F)