Expected deflation can reduce Aggregate demand by
A. reducing the willingness to purchase big-ticket items.
B. increasing nominal interest rates.
C. reducing the purchasing power of money.
D. reducing the government's budget deficit.
Answer: A
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According to the table shown, what happened to the cost of living from 2013 to 2014? The cost of living:
A. increased; consumers became worse off than they would have been if the price level had not changed.
B. decreased; consumers became worse off than they would have been if the price level had not changed.
C. increased; consumers became better off than they would have been if the price level had not changed.
D. decreased; consumers became better off than they would have been if the price level had not changed.
A minimum wage that is below the equilibrium wage rate does not raise unemployment
a. True b. False Indicate whether the statement is true or false
The greatest expansion of the automobile industry occurred in the decade of the ______.
Fill in the blank(s) with the appropriate word(s).
When any effort by government causes the supply of a good to rise, what happens to the supply curve for that good?
(A) The supply curve is not affected. (B) It shifts to the right. (C) It shifts to the left. (D) It reverses direction.