According to supply-siders, tax cuts should increase aggregate supply.
Answer the following statement true (T) or false (F)
True
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If the FOMC decides to engage in the selling of government bonds, what is the effect on the money supply?
A) a decrease B) an increase C) an initial increase followed by an additional rise when the bonds mature D) no change
How will an increase in the efficiency of the payments mechanism effect velocity?
a. It will decrease. b. It will increase. c. It will remain constant. d. Velocity is unrelated to payments.
Just after World War II, the labor-force participation rate of women was
a. about 25 percent, and in 2015 it was about 50 percent. b. about 33 percent, and in 2015 it was about 60 percent. c. about 50 percent, and in 2015 it was about 70 percent. d. about 60 percent, and in 2015 it was about 80 percent.
Compared with a system of fixed exchange rates, currency unions have the disadvantage of
A. requiring every country to share a common fiscal policy. B. decreasing the sacrifice ratio. C. allowing exchange rates to float. D. requiring all its members to share a common monetary policy.