An increase in government spending would cause which of the following to happen?
A) The aggregate demand curve would shift to the right.
B) The aggregate demand curve would shift to the left.
C) The aggregate supply curve would shift to the right.
D) The aggregate supply curve would shift to the left.
A
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How much money to hold is an application of the:
A. cost-benefit principle. B. scarcity principle. C. principle of increasing opportunity cost. D. principle of comparative advantage.
Which of the following countries has experienced negative economic growth in the last 20 years?
A) Zimbabwe. B) Chad. C) The United States. D) China.
The above figure shows Bob's utility function. He currently has $100 of wealth, but there is a 50% chance that it could all be stolen. Bob is risk averse because
A) his utility function is concave. B) he has diminishing marginal utility of wealth. C) he is willing to pay a premium to avoid a risky situation. D) All of the above.
Which of the following assets is best to hold in periods of high and expected inflation?
a. Cash. b. Checking account deposits. c. Land. d. Treasury Bills. e. Bonds.