Other things being equal, if you took money out of your demand deposit account and put it in a savings deposit account:
a. M1 would increase and M2 would increase.
b. M1 would increase but M2 would not change.
c. M1 would decrease and M2 would decrease.
d. M1 would fall but M2 would not change.
d
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During the mid-2000s, the average price of a used car fell by nearly $500 and the quantity sold nation-wide decreased by several thousands each year. This set of results is a contradiction of the law of demand
Indicate whether the statement is true or false
If the demand curve is a vertical line, then
a. demand is perfectly elastic b. demand is perfectly inelastic c. demand is unit elastic d. demand is determined by supply e. supply is a horizontal line
Suppose the government imposes a tax of 10 percent on the first $40,000 of income and 20 percent on all income above $40,000 . What are the tax liability and the marginal tax rate for a person whose income is $50,000?
a. 12 percent and 20 percent, respectively b. 12 percent and $50,000 . respectively c. $6,000 and 12 percent, respectively d. $6,000 and 20 percent, respectively
Refer to the information provided in Table 14.6 below to answer the question that follows. Table 14.6B's Strategy ?AdvertiseDon't Advertise??A's profit $150 millionA's profit $400 million?AdvertiseB's profit $150 millionB's profit $100 millionA's Strategy????Don'tA's profit $100 millionA's profit $200 million?AdvertiseB's profit $400 millionB's profit $200 millionRefer to Table 14.6. The result of this game is known as a
A. repeated strategy. B. collusive outcome. C. prisoners' dilemma. D. tit-for-tat outcome.