Inflation that causes an increase in the prices of goods and services will, other things being equal, tend to decrease nominal GDP
a. True
b. False
Indicate whether the statement is true or false
False
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A decrease in wealth leads to a
A) downward movement along the supply of loanable funds curve. B) rightward shift of the demand for loanable funds curve. C) leftward shift of the demand for loanable funds curve. D) rightward shift of the supply of loanable funds curve. E) leftward shift of the supply of loanable funds curve.
At one time, it was believed that the way for a nation to prosper was to export as much as possible while importing as little as possible. More money would flow into a country than out of a country. Is this really a sound economic strategy? What is the relationship between exports and imports?
If the graph shown is displaying a competitive market and the market is currently offering a wage more than P*:
A. firms would have a hard time finding workers. B. there would not be unemployment in the market. C. equilibrium would be achieved. D. there would be a surplus of workers who want to work at that wage.
Which one of the following is an example of an economic investment?
A. Putting money in a bank CD B. Buying a corporate bond or stock C. Purchasing shares of a mutual fund D. Building a new bank office