If wages and prices are flexible and expectations are formed rationally, an increase in the money supply will cause
A) real wages to rise.
B) real wages to fall.
C) nominal wages to rise.
D) nominal wages to fall.
C
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The Patient Protection and Affordable Care Act (ACA) is scheduled to be fully implemented by 2019, at which point
A) more than 30 million additional individuals are expected to have health care coverage. B) all hospitals in the United States will be taken over by the federal government. C) private health insurance companies will no longer exist in the United States. D) current budget cuts are expected to have completely offset the cost of the program.
Assume that C = $3000 + 0.75(Y) and that intended investment = $1,000 . If national income is currently $20,000, then the economy's income will grow
Indicate whether the statement is true or false
Which of the following is a main political objection against using the market to reduce pollution?
A. Pollution charges and cap-and-trade schemes raise prices and lower consumer welfare. B. Cap-and-trade redistributes income from less-efficient polluters to more-efficient polluters. C. Firms already pay a high corporate tax. D. Consumers do not have the same built in tax loopholes as firms.
Refer to the above figure. If real GDP is $4 trillion, then
A. consumption expenditures are too low. B. unplanned inventories will increase. C. actual investment spending equals $1 trillion as planned investment spending plus unplanned inventory increases equal $1 trillion. D. unplanned inventories will decrease.