Which of the following does NOT shift the IS curve?
A) an increase in autonomous consumption
B) an increase in government spending
C) a decline in government spending
D) a fall in the interest rate
D
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A recent issue of the Wall Street Journal headlined a story, “Bond Prices End Lower.” From this we can conclude that
A. interest rates fell. B. interest rates rose. C. interest rates did not change. D. stock prices fell.
A country that has relatively large amounts of a particular resource at its disposal
a. will tend to have an absolute advantage b. will trade the resource for some good in which that country has an absolute advantage c. will tend to have a comparative advantage in goods that make heavy use of that resource d. will trade the resource for some good in which that country has a comparative advantage e. will tend to have a low exchange rate
Explain what a potential money multiplier of 3 means. How can the Fed increase the potential money multiplier?
Seasonal unemployment occurs because of: a. changes in the business cycle
b. the periodic nature of some jobs. c. workers moving between jobs. d. workers not getting jobs according to their educational qualifications.