When the interest rate is high, planned investment is ________ so output is ________.

A. high; low
B. low; low
C. low; high
D. high; high


Answer: B

Economics

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The bond demand curve is ________ sloping, indicating a(n) ________ relationship between the price and quantity demanded of bonds, everything else equal

A) downward; inverse B) downward; direct C) upward; inverse D) upward; direct

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A decrease in tastes for European goods in the U.S. would ____ the demand for Euros, ____ the equilibrium price (exchange value) of Euros

a. increase; increasing. b. increase; decreasing. c. decrease; increasing. d. decrease; decreasing.

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The self-correcting tendency of the economy means that rising inflation eventually eliminates:

A. unemployment. B. exogenous spending. C. recessionary gaps. D. expansionary gaps.

Economics

If the marginal cost curve is below the average variable cost curve, then

A) average variable costs are increasing. B) average variable costs are decreasing. C) marginal cost must be decreasing. D) average variable costs could either be increasing or decreasing.

Economics