If the LM curve shifts down, this would be consistent with:
A) a rise in the money supply.
B) a fall in interest rates.
C) a rise in interest rates.
D) both a rise in the money supply and a fall in interest rates.
Ans: A) a rise in the money supply.
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Suppose India and France have the same PPF, shown in the figure above. Based on their current production points, which is France's most likely future PPF?
A) PPF2 B) PPF1 C) PPF0 D) either PPF0 or PPF1 E) None of the above because economic growth will not happen in India.
The graph illustrates the supply of soda. If the price of soda rises from $0.50 a can to $1.50 a can, the quantity of soda supplied
A) increases from 0 cans to 4,000 cans a day. B) decreases from 4,000 cans to 0 cans a day. C) remains unchanged because the supply increases not the quantity supplied. D) increases from 0 to 6,000 cans a day. E) remains unchanged because the supply decreases not the quantity supplied.
The unemployment rate is 6 percent. If the population is 300 million, and the number unemployed is 6 million and the number employed is 94 million, what is the size of the labor force?
What will be an ideal response?
The final goods businesses keep for themselves are called
A) assets. B) savings. C) investment. D) sunk costs. E) intermediate goods.