In the short run, a rise in the price level brings a ________ in the real interest rate that ________ investment, bringing ________ in the quantity of real GDP demanded

A) rise; decreases; a decrease
B) fall; decreases; a decrease
C) fall; increases; an increase
D) rise; increases; an increase
E) rise; decreases; an increase


A

Economics

You might also like to view...

Which of the following is true at the exchange equilibrium between two individuals?

A) Their marginal rates of substitution are equal. B) The slopes of the individuals' indifference curves are equal. C) Both individuals' marginal rates of substitution are equal to the ratio of the prices of the goods. D) A and B only E) A, B, and C are all true.

Economics

The unemployment rate was increasing from 6 percent to 7 percent could be interpreted as an increase in the natural rate of

a. inflation. b. unemployment. c. economic growth. d. aggregate supply.

Economics

Specializing and participating in international trade allows and economy to:

a. divert high-skilled resources toward low-valued services b. circumvent the output limits imposed by its own production possibilities curve c. get more of a desired good by sacrificing greater amounts of some other good d. increase the quantities of capital and consumer goods available to society

Economics

The quantity of TVs sold is 100 at the unit price $200. Suppose the price elasticity of demand for TVs by the initial value method is 2.0, and you would like to decrease the unit price for TVs to $150. Then the new quantity sold must be:

A. 125. B. 150. C. 200. D. 250.

Economics