A contractionary monetary policy decreases net exports by ________ interest rates and ________ the value of the dollar

A) lowering real; decreasing
B) lowering real; increasing
C) raising nominal; increasing
D) raising real; increasing


D

Economics

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From the equation of exchange, if both nominal income and the quantity of money (M) have tripled, while the price level (P) has increased by 50 percent and velocity (V) remains constant, then real output (Y) ________

A) also triples B) increases by 50 percent C) doubles D) decreases by 50 percent E) none of the above

Economics

The market for milk is in equilibrium. Recent health reports indicate that calcium is absorbed better in natural forms such as milk, and at the same time, the cost of milking equipment rises. Carefully analyze the probable effects on the market

What will be an ideal response?

Economics

According to influential moral philosopher Jeremy Bentham:

A. utility functions should provide cardinal information about preferences. B. the aim of public policy should maximize an individual's utility. C. utility functions should provide ordinal information about preferences. D. public policy decisions should be based on ordinal utility.

Economics

If real gross domestic product (GDP) in a particular year is $5,000 trillion and nominal gross domestic product (GDP) in that same year is $4,000 trillion, then the: a. consumer price index (CPI) is 125

b. economic activity has decreased by 20 percent. c. GDP price index is 125. d. GDP price index is 80. e. economy has grown by 20 percent.

Economics