When the U.S. government launched a massive rescue plan in response to the 2008-2009 financial crisis, one of the main actions taken was to ________ because the desire was to lessen the severity of the recession by ________
A) increase the supply of loanable funds; limiting the decrease in investment
B) decrease the supply of loanable funds; limiting the decrease in investment
C) decrease the supply of loanable funds; encouraging decrease in investment
D) increase the supply of loanable funds; encouraging decrease in investment
E) increase the demand of loanable funds; encouraging decrease in investment
A
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Frank spends Saturday afternoon at the Dodge dealership looking at new trucks. The model that he is interested in has a sticker price of $29,000. The fact that the price is quoted in dollars is an example of money used as a
A) medium of exchange. B) unit of account C) store of value. D) All of the above answers are correct.
A depreciation of the exchange rate is most likely to be celebrated by ________
A) exporters B) consumers C) central bankers D) importers
If the quantity demanded of a good is Q when the price for the good is P, the price elasticity of demand for that good at that point is:
A. (Q/P) × (1/slope) B. Q × P × (1/slope) C. (P/Q) × (slope) D. (P/Q) × (1/slope)
If net exports decrease, the expenditure schedule will
A. get steeper. B. get flatter. C. shift upward. D. shift downward.