The money multiplier determines how much
A) real GDP will be expanded given an increase in autonomous investment.
B) the monetary base will be expanded given a change in the quantity of money.
C) the quantity of money will be expanded given a change in the monetary base.
D) money demand will expand given a change in the quantity of money.
C
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A perfectly competitive market has demand Q = 100 - P and supply Q = P - 10. An individual firm has MC = 10 + 2Q.
(a) What is the market equilibrium price and quantity? (b) How much output should the individual firm produce? (c) Although it is has been claimed that this market is perfectly competitive, do your answers to parts (a) and (b) suggest differently?
If inflation is higher than expected, this helps borrowers (by reducing the real interest rate they pay) and hurts lenders (by reducing the real interest rate they receive)
Indicate whether the statement is true or false
The "real burden" of the debt is directly related to
A. The idea of opportunity cost. B. How transfers redistribute income. C. The relationship between the Treasury and the Federal Reserve System. D. The difference between internally held debt and externally held debt.
How much did the median wage for college graduates increase over the last two decades?
a. 10% b. 12% c. 14% d. 16%