Refer to the information provided in Figure 23.6 below to answer the question(s) that follow.
Figure 23.6Refer to Figure 23.6. Aggregate consumption is 960 when aggregate income is
A. $800.
B. $950.
C. $1,000.
D. $1,125.
Answer: C
You might also like to view...
The higher the transactions costs, the easier it is to negotiate an agreement involving negative externalities
Indicate whether the statement is true or false
If the economy starts in long-run equilibrium, a permanent fiscal expansion will cause
A) an increase in exchange rate, E. B) a decrease in exchange rate, E. C) an increase in output, Y. D) a decrease in output, Y. E) shifting of the AA curve up and to the right.
Of the following, who would most likely be hurt by an unanticipated increase in the rate of inflation?
a. an individual with a 30-year fixed-rate home mortgage loan b. the U.S. federal government because it has a large quantity of outstanding debt c. lenders who have made long-term loans at fixed interest rates d. Social Security recipients whose benefits are adjusted upward as the general level of prices increases
Suppose that a worker has the option of being paid in euros or dollars. It would be to the workers advantage if his employer pays him in ____________ rather than ______________ if the worker believes that the value of the dollar is about to ____________ relative to the value of the euro
A) euros; dollars; fall B) dollars; euros; rise C) euros; dollars; rise D) dollars; euros; fall E) ?a and b