When the aggregate supply curve is ________ the price of factors of production is fixed, with little or no upward pressure on price.
A. upward sloping
B. vertical
C. horizontal
D. downward sloping
Answer: C
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If the economy were experiencing a recession, which of the following would Keynes be in favor of?
A. Households should save less and consume more goods and services. B. The government should increase taxes to balance its budget during a recession. C. Businesses should decrease spending on new equipment until the economy improves. D. The government should discourage companies from exporting goods to foreign countries while people at home are unable to buy basic necessities.
Suppose the government's initial debt is $350 billion and that during the next two years the government runs deficits of $90 and $40 billion
If during the third year the government has a $70 billion surplus, the government's total debt at the end of the three years will be A) $60 billion. B) $200 billion. C) $410 billion. D) $550 billion.
The need to issue paper money increased with the frequent use of checks
Indicate whether the statement is true or false
Which of the following would contribute to a United States current account surplus?
A. The United States makes a unilateral tariff reduction on imported goods. B. General Motors pays a dividend to a Swiss stockholder. C. The United States cuts back on American military personnel stationed in Germany. D. Russian vodka becomes increasingly popular in the United States.