A rise in autonomous planned investment spending causes the equilibrium level of aggregate output to ________ and shifts the ________ curve to the ________, everything else held constant
A) rise; LM; right
B) rise; IS; right
C) fall; IS; left
D) fall; LM; left
B
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The United Bank of Glassen only lent money to a limited number of big business houses. After a financial crisis, the bank went out of business. Which of the following reasons could have contributed to the collapse of this bank?
a. Their decision not to lend funds to the Federal Reserve b. Their decision not to diversify their asset portfolio c. Their decision to extend loans to a diversified pool of borrowers d. Their decision to extend mainly short-term loans e. Their decision to unnecessarily scrutinize each borrower's details
Based on the figure below. Starting from long-run equilibrium at point C, a decrease in government spending that decreases aggregate demand from AD1 to AD will lead to a short-run equilibrium at__ creating _____gap.
A. B; no output B. D; an expansionary C. B; recessionary D. D; a recessionary
Under perfect competition, the individual firm's quantity is 
Figure 42.2
A. Q1. B. Q2. C. Qa. D. Qb.
The "Big Five" macroeconomic variables with respect to agriculture
A) Represent key linkages between sectors in the food and fiber industry. B) Include the rate of interest, the unemployment rate, the rate of inflation, the rate of growth in GDP and the producer price index. C) Include the rate of foreign exchange, the rate of interest, the unemployment rate, the rate of inflation, and the rate of growth in GDP. D) None of the above.