If it becomes less expensive for firms to hold excess capital and labor, the multiplier will
A. remain unchanged.
B. decrease.
C. increase.
D. either increase or decrease depending on the value of the MPC.
Answer: B
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Because of the lag of the effects of changes in monetary policy and the failure of forecasters to anticipate supply-side shocks as well as changes in money demand or velocity, activist policy changes have tended at times during the mid-1970s to
A) accelerate inflation during expansions. B) increase unemployment during recessions. C) accelerate inflation and increased unemployment. D) dampen inflation and decrease unemployment.
Double taxation is a problem for corporations.
Answer the following statement true (T) or false (F)
Stocks are a form of debt obligation
Indicate whether the statement is true or false
In colonial times, the French guinea, the Spanish pistole, and the English crown circulated as money on the streets of New York, Boston, Baltimore, and Philadelphia and were exchanged readily for each other
Indicate whether the statement is true or false