Other things the same, what happens in the short run to the price level and quantity of output when the aggregate demand curve shifts to the left?
The price level decreases and output decreases.
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On which of the following assets are you most likely to earn interest income?
a. cash and currency b. checkable deposits c. money market deposit accounts d. gold and other precious metals e. All of the above are correct.
When a firm is experiencing economies of scale, long-run
a. average total cost is minimized. b. average total cost is greater than long-run marginal cost. c. average total cost is less than long-run marginal cost. d. marginal cost is minimized.
In general, people are willing to pay more than the expected value of insurance because:
A. most people would have trouble finding enough money to cover their losses. B. they are risk-averse. C. it allows them to afford major expenses from catastrophes without going bankrupt. D. All of these statements are true.
Banks prefer to make loans than keep reserves because they earn interest on loans and must pay interest on reserves
Indicate whether the statement is true or false