Which of the following would shift the investment demand curve leftward?
a. Higher expected returns on investment
b. A lower real interest rate
c. A higher real interest rate
d. Lower expected returns on investment
d. Lower expected returns on investment
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All of the following would be considered a current account transaction EXCEPT the
A) importing of services. B) exporting of goods. C) importing of capital. D) importing of goods.
When determining equilibrium using supply and demand, the concept of ceteris paribus is used. The term ceteris paribus means:
a. other things being equal. b. allowing things to change. c. other things being different. d. time and space considered.
The expenditure schedule and the aggregate demand curve show much the same thing, with one crucial difference-the price level. How does the price level affect the two schedules?
In an economy with persistent inflation,
a. real GDP will grow faster than nominal GDP. b. nominal GDP will grow faster than real GDP. c. nominal and real GDP will grow at the same rate. d. nominal and real GDP will both fall.