When the interest rate falls, the:
a. Total amount of money demanded decreases
b. Total amount of money demanded increases
c. Asset demand for money decreases
d. Transactions demand for money increases
b. Total amount of money demanded increases
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What is the reason that stabilization policies do NOT have an immediate effect on an economy?
A) Consumers are slow to catch up on spending. B) Imports come into the country too fast. C) Exports often are not shipped fast enough. D) There is a time lag for policies to take effect.
Jeremy is thinking of starting up a small business selling NASCAR memorabilia. He is considering setting up his business as a sole proprietorship. What is one advantage to Jeremy of setting up his business as a sole proprietorship?
A) As a sole proprietor, Jeremy would have the ability to share risk with shareholders. B) As a sole proprietor, Jeremy would have both ownership and control over the business. C) As a sole proprietor, Jeremy would face limited liability. D) All of the above would be advantages of setting up his business as a sole proprietorship.
In going from the simple to the flexible accelerator, j is set at ________, and v* is ________
A) one, allowed to vary B) one, set at less than one C) less than one, set at less than one D) less than one, set at one E) less than one, allowed to vary
Nations that have only a single abundant resource face significant risks, even when that resource is highly valued
Indicate whether the statement is true or false