Which of the following is likely to happen when the banking system of a country recuperates after a recession?
A) Interest rates will increase. B) Household consumption expenditure will fall.
C) Firms will hire more workers. D) The aggregate price level will fall.
C
You might also like to view...
The figure above shows that the government subsidy accounts for ________ percent of the farmers' revenue
A) 33 B) 67 C) 50 D) 100 E) 25
Consumers expect that the price of a gallon of gasoline will rise next week. As a result
A) today's supply of gasoline increases. B) today's demand for gasoline increases. C) the price of a gallon of gasoline falls today. D) next week's supply of gasoline decreases.
Some economists and policymakers who are in favor of government-provided health care believe that providing health care will
A) create negative externalities. B) generate more adverse selection. C) reduce asymmetric information. D) generate additional moral hazard.
State the law of diminishing returns. How do diminishing returns differ from diseconomies of scale? Be sure to define diseconomies of scale in your answer
What will be an ideal response?