Using the information in the table above, what does the slope of the line between x and y equal?
A) 5
B) -0.5
C) 2
D) -2
D
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Use the following graph to answer the next question.
Which of the following factors will shift AD1 to AD3?
A. A decrease in consumer wealth B. An increase in expected returns on investment C. A decrease in real interest rates D. An increase in productivity
In the steady state of Solow's exogenous growth model, an increase in the savings rate
A) increases output per worker and increases capital per worker. B) increases output per worker and decreases capital per worker. C) decreases output per worker and increases capital per worker. D) decreases output per worker and decreases capital per worker.
As a scientist, an economist's main professional objective is to
a. become wealthy b. control the government's decision-making processes c. understand how the economy works d. discover which stock prices will decrease e. understand the psychology of participants in markets
More borrowing by firms in the domestic currency is one way to reduce currency mismatch. What would be the major issue if government insured repayment of the loans at a low cost?
A) There would be lots of new borrowing, and the production sector might not be able to keep pace. B) It would be too expensive. C) There could be a moral hazard problem with excessive risk taking. D) It is likely that no new borrowing would take place—firms need the incentive of tax breaks.