Which of the following is true?
A. Keynesians advocate decreasing the money supply during economic recessions but increasing the money supply during economic expansions.
B. Monetarists advocate increasing the money supply by a constant rate year after year.
C. Keynesians argue that the crowding-out effect is rather large.
D. Monetarists argue that the crowding-out effect is rather insignificant.
Answer: B
You might also like to view...
The Tax Reform Act of 1986 was concerned with _____
a. fiscal stabilization b. macroeconomic policy c. equity considerations d. efficiency considerations
Assume Willow's income to spend on either earrings or hairbands is $24. If her budget constraint is pictured in the graph shown, which of the following must be true?
A. Willow will buy more hairbands than earrings because they are less expensive.
B. Willow will buy more earrings than hairbands because they are less expensive.
C. Hairbands must cost $3, and earrings must cost $6.
D. Hairbands must cost $8, and earrings must cost $4.
Which of the following is true of the marginal revenue for a monopolist?
a. As a monopoly increases production, marginal revenue decreases b. As a monopoly increases production, marginal revenue increases. c. As a monopoly increases production, marginal revenue remains constant. d. As a monopoly increases production, marginal revenue first increases and then remains constant.
Large corporations dominate the planet's economy.
Indicate whether the statement is true or false.