What happens to desired investment spending if the interest rate rises? Is this response relevant to the supply of loanable funds curve or the demand for loanable funds curve?
Investment spending falls. This relationship is relevant to the demand for loanable funds.
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Suppose that Rosa is considering migration to another country. To move, she will have to spend $5000 on transportation and $4000 in application and other processing fees. Rosa's stream of future earnings in her home country is $500,000. She expects to earn a stream of future earnings of $800,000 in another country. Based on this information, Rosa will decide to migrate as long as the implicit costs of leaving her friends and family and adjusting to a new culture are:
A. Greater than $509,000 B. Less than $300,000 C. Less than $91,000 D. Less than $291,000
The overall level of well-being enjoyed by an individual is known as ________.
A. the real GDP B. the growth rate C. the national income D. the standard of living
Suppose favorable weather resulted in a bumper crop of oranges in Florida. In the market for oranges
A) the supply curve shifted to the right resulting in a decrease in the equilibrium price. B) the demand curve shifted to the right resulting in an increase in the equilibrium price. C) the supply curve shifted to the right resulting in an increase in the equilibrium price. D) the demand curve shifted to the left resulting in a decrease in the equilibrium price.
If the output gap is constant at minus 2 and the inflation rate has fallen from 6 percent to 5 percent, then next period's short-run aggregate supply curve might be ________
A) ? = 5 - 0.5 (13 - 15) B) ? = 5 + 0.5 (13 - 15) C) ? = 4 + 0.5 (13 - 15) D) ? = 5 + 2 (11 - 15) E) none of the above