Lower interest rates:

a) decrease consumption and investment spending.
b) increase consumption and decrease investment spending.
c) decrease consumption and increase investment spending.
d) increase consumption and investment spending.


Ans: d) increase consumption and investment spending.

Economics

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Slick Shades has a constant marginal cost of production equal to $80 and the distributors have a constant marginal cost of distribution equal to $30. If Slick Shades vertically integrates with the perfectly competitive distributors, the profit-maximizing quantity will be ________ the profit-maximizing quantity if they did not vertically integrate and the combined firm will earn ________ profit if

they did not vertically integrate.


The figure above shows the wholesale demand and marginal revenue curves for Slick Shades Sunglasses, a sunglasses firm with market power. Slick Shades Sunglasses has a constant marginal cost of production and it sells to perfectly competitive independent retail distributors that have a constant marginal cost of distribution.

A) the same as; greater
B) greater than; the same
C) the same as; the same
D) greater than; greater

Economics

Starting salaries for female OB/GYNs are higher than those of male OB/GYNs. What is the best explanation for this?

a. Female OB/GYNs have more human capital than male OB/GYNs. b. Female OB/GYNs are smarter than male OB/GYNs. c. The demand for female OB/GYNs is greater than the demand for male OB/GYNs. d. The demand for female OB/GYNs is less than the demand for male OB/GYNs. e. More males are in OB/GYN residency programs than females.

Economics

The upward-sloping short run aggregate supply curve shows the ___________ relationship between the price level and the level of real GDP in the short run.

a. positive b. negative c. neutral d. bi-modal

Economics

According to Robert Reich, secretary of Labor in the Clinton administration,

a. the identity of American companies is clear, and laws should be written accordingly. b. foreign companies are clearly different from American companies. c. multinational companies have clear bases of operations, which form their identity. d. it is almost impossible to define the nationality of a multinational company. e. identifying the country of origin of a product is almost impossible, but essential for proper regulation.

Economics