An increase in the price level results in a(n) ________ in household consumption spending and a(n) ________ in investment spending

A) decrease; increase B) increase; decrease C) increase; increase D) decrease; decrease


D

Economics

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Goods that are very useful and highly desired are likely to be relatively expensive, no matter how scarce or abundant they are

Indicate whether the statement is true or false

Economics

Refer to the accompanying figure. If the government imposed a price ceiling of $40, what would happen in this market?

A. The equilibrium quantity would fall. B. The price ceiling would have no effect. C. There would be excess demand. D. There would be excess supply.

Economics

Which statement most accurately describes economics?

A) Economics is the study of how people make money. B) Economics is the study of how people make choices to satisfy their wants. C) Economics is the study of social values a society should choose. D) Economics is the study of how to eliminate scarcity.

Economics

The real burden of an increase in the public debt:

A. may be very small or conceivably zero when the economy is in a severe depression. B. will be smaller when full employment exists than when the economy has large quantities of idle resources. C. can be shifted to future generations if the debt is internally financed. D. can best be measured by the dollar increase in the size of the debt.

Economics