Fully accommodating monetary policy results in
A) a constant interest rate.
B) the simple fiscal-policy multiplier of Chapter 3.
C) an increase in the money supply when there is a rise in government spending.
D) All of these.
D
You might also like to view...
Speculators who believe the world-wide demand for cocoa products is going to increase enormously next year will cause
A) less cocoa to be consumed next year. B) less cocoa to be consumed this year. C) less cocoa to be produced next year. D) less cocoa to be produced this year. E) none of the above since speculation only affects price.
What is the lemons problem? How do firms try to address this problem?
What will be an ideal response?
Many persons object to the results of the competitive market system because
A. it takes too much energy to coordinate activities. B. efficient outcomes may not be compatible with their ideas of a fair distribution. C. a few people can control all economic activity. D. it fosters high rents and low beef prices.
According to the "feedback critique":
A. the conduct of firms in an industry may affect the market structure. B. the conduct of firms in an industry may affect the firm's performance. C. market structure may affect the firm's conduct. D. All of the statements associated with this question are correct.