If the economy is entering a recession, what should the Fed do as far as changing interest rates, and how should this affect consumer and business spending?
What will be an ideal response?
If the economy is entering a recession, the Fed should lower interest rates in an attempt to increase consumer and business spending.
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Gross domestic product measures the ________ value of ________ goods and services produced during a ________ time period
A) inherent; market; fixed B) final; intermediate; stable C) intermediate; final; constant D) market; final; given
In the long run, an entrepreneur who owns a perfectly competitive firm will earn an income just equal to what she could earn in the next best alternative use of her time
a. True b. False
A firm operating in a perfectly competitive market earns zero economic profit in the long run but remains in business because the firm's revenues cover the business owners' opportunity costs
a. True b. False Indicate whether the statement is true or false
The combination of legal and illegal immigrants in the United States creates a Ushaped pattern between the number of immigrants and:
a. wages of competing b. American workers. their wages. c. their educational level. d. their jobs.