According to the Keynesian view of macroeconomics, what should be the role of the government as far as economic policy?
Select one:
a. The government should keep the growth rate of the money supply stable.
b. The government should maintain a fixed interest rate.
c. The government should try to raise the AS curve.
d. The government should try to stabilize the AD curve.
c. The government should try to raise the AS curve.
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Refer to the below graphs. (Assume that the pre-migration labor force in Country A is 100 and that it is 150 in country B.) After immigration occurs, total business income in country B:
A. Increases by $475M
B. Increases by $50M
C. Decreases by $50M
D. Decreases by $475M
The average product is the greatest in the short run when the
A) total product is maximized. B) marginal product is equal to zero. C) marginal product is maximized. D) marginal product is equal to the average product. E) marginal product is greater than the average product.
In a regression equation, one may measure the accuracy of the estimation by:
a. calculating the standard deviation of the errors of prediction b. calculating the standard error of the estimate c. estimating the standard deviation of the errors of prediction d. all of the above e. a and b only
The first three elements of a financial crisis are correctly represented as taking place in the following order:
a. large decline in some asset prices ? insolvencies at financial institutions ? decline in confidence in financial institutions b. insolvencies at financial institutions ? decline in confidence in financial institutions ? large decline in some asset prices c. insolvencies at financial institutions ? economic downturn ? credit crunch d. insolvencies at financial institutions ? credit crunch ? economic downturn