An increase in the market interest rate, other things equal, will _____
a. have no effect on investment
b. increase the amount invested since the rate of return will be lower
c. increase the amount invested because income will increase
d. reduce the amount invested because the opportunity costs of investing will be higher
e. increase the amount invested because the rate of return will be higher
d
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Starting from long-run equilibrium, a decrease in autonomous investment results in ________ output in the short run and ________ output in the long run.
A. lower; potential B. higher; higher C. higher; potential D. lower; higher
Which of the following always decreases when output increases?
A) total fixed cost B) marginal cost C) average variable cost D) average fixed cost E) total cost
In general output per hour rises at _____ real wages.
A. a much higher rate than B. a somewhat higher rate than C. about the same rate as D. a somewhat lower rate than
The funds that nation's have on account at the International Monetary Fund is measured in
A. the currency of the nation that has deposited the funds. B. a quota subscription. C. an international unit of accounting called special drawing rights. D. U.S. dollars.