Interest rates and investment move in the same direction when demand shifts toward ________-lived equipment, producing a ________ shift in the IS curve
A) shorter, leftward
B) shorter, rightward
C) longer, leftward
D) longer, rightward
B
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Define the "consumption function."
What will be an ideal response?
Which statement is false?
A. The 1990s was one of the most prosperous decades in the United States' history. B. The United States' economy reached its tenth year of steady expansion in the spring of 2001. C. Compared to other decades, the 1990s was a decade was unique in that it had strong economic growth with no recessions. D. At the end of the 1990s, the government was running budget surpluses.
People derive utility in their lives from consuming goods (all other goods), g, and clean air (measured as the number of particulates removed per m3), a, as measured with the utility function U(g,a) = g0.6a0.4. The price index of consumer goods equals $20 per day. Income equals $1000. What is likely to happen to the number of asthma cases as the price of clean air (abatement cost) increases from
$10 to $20? A) Asthma cases decrease because the particulates per m3 increase by 2 units. B) Asthma cases increase because the particulates per m3 decrease by 2 units. C) Asthma cases increase because the particulates per m3 increase by 2 units. D) There is not enough information to answer this question.
The two largest economies in the world in 2012 were:
A. China and the U.S. B. Japan and the U.S. C. England and the U.S. D. China and Germany.