People anticipate inflation will be 3 percent during the next several years. If this is true, when the real interest rate is 4 percent, the money interest rate will be
a. 1 percent.
b. 3 percent.
c. 4 percent.
d. 7 percent.
D
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Since the end of World War II, the economy of the United States has been more influenced by stabilization policy. One of the undesirable side effects of this has been that the economy now has a greater tendency to suffer from
a. more severe recessions and depressions. b. higher levels of unemployment and lower rates of employment growth. c. lower rates of growth in real and nominal GDP. d. more persistent periods of inflation.
Although monetary policy cannot reduce the natural rate of unemployment, other types of government policies can
a. True b. False Indicate whether the statement is true or false
Use the following table to answer the question below.PriceQuantity SuppliedQuantity Demanded$101002951115027512190250132202201424518015265135If a technological advance lowers production costs such that the quantity supplied increases by 60 units of this product at each price, the new equilibrium price would be
A. $12. B. $11. C. $14. D. $13.
The benefits and costs of a choice is shown by using a
a. statistical table. b. decision-making grid. c. circle graph. d. line graph