Investment is:

a) An injection that increases aggregate demand
b) A withdrawal that increases aggregate demand
c) An injection that decreases aggregate demand
d) A withdrawal that decreases aggregate demand


Answer: a) An injection that increases aggregate demand

Economics

You might also like to view...

A natural monopoly usually arises when

A) there are diseconomies of scale in an industry. B) the government allows unrestricted access to a market. C) there are large economies of scale relative to the industry's demand. D) companies band together to form a larger company.

Economics

As a resource becomes more scarce, we expect its price to

A. rise. B. fall. C. remain constant. D. fluctuate wildly.

Economics

Figure 17.1 depicts a firm's marginal revenue product curve. If the prevailing hourly wage increases:

A. the marginal revenue product curve shifts upward. B. the marginal revenue product curve shifts downward. C. the marginal revenue product curve does not shift, but there is a movement upward along the curve. D. the marginal revenue product curve does not shift, but there is a movement downward along the curve.

Economics

A schedule of amounts of a good that people will purchase at various prices during a specific time period holding other factors constant is

A) a market. B) supply. C) demand. D) the market clearing price.

Economics