If the Fed raises its target for the federal fund rate, this indicates that
A) the Fed is pursuing an expansionary monetary policy.
B) the Fed is attempting to combat deflation.
C) the Fed is pursuing a contractionary monetary policy.
D) The Fed is concerned that the growth in aggregate demand is too slow to keep up with potential GDP.
C
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________ consumption is consumption that does not depend upon the level of GDP
A) Disposable B) Voluntary C) Induced D) Autonomous
In general, activists are ________ about the ability of the economy to remain stable and non-activists are ________
A) pessimistic; optimistic B) optimistic; optimistic C) pessimistic; pessimistic D) optimistic; pessimistic
Refer to the above table. You are given information on Jasmin's consumption for 2005 and 2015. Using 2005 as the base year compute the price index for 2015. The index equals
A) 0.75. B) 73.007. C) 87.50. D) 136.842.
Net exports are calculated as exports minus imports.
Answer the following statement true (T) or false (F)