If the Federal funds rate:
a. Increases, the prime interest rate will increase
b. Decreases, the prime interest rate will not change
c. Decreases, the prime interest rate will increase
d. Increases, the prime interest rate will decrease
a. Increases, the prime interest rate will increase
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Nominal GDP, PY, is $7.5 trillion. The quantity of money is $3 trillion. The velocity of circulation is
A) 22.5. B) 10.5. C) 2.5. D) 3.
Refer to the graph shown. If this monopolist sets the price to maximize profit, it will earn economic profit of:
A. $2,400 per day. B. $1,600 per day. C. $7,200 per day. D. $4,800 per day.
House prices in the U.S. increased dramatically ________, and decreased dramatically ________.
A. from 2007 to 2009; from 2001 to 2006 B. from 2001 to 2009; from 2006 to 2007 C. from 2001 to 2006; from 2007 to 2009 D. from 2006 to 2009; from 2001 to 2006
An increase in government spending can raise wages and prices in the short term.
Answer the following statement true (T) or false (F)