The Keynesian cause-and-effect sequence predicts that a decrease in the money supply will cause interest rates to:
a. fall, boosting investment and shifting the AD curve rightward, leading to an increase in real GDP.
b. fall, boosting investment and shifting the AD curve rightward, leading to a decrease in real GDP.
c. rise, cutting investment and shifting the AD curve rightward, leading to an increase in real GDP.
d. rise, boosting investment and shifting the AD curve rightward, leading to an increase in real GDP.
e. rise, cutting investment and shifting the AD curve leftward, leading to a decrease in real GDP.
e
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Plants, trees, and soils naturally emit carbon dioxide (CO2 ) that enters the atmosphere
To form a benchmark level for this greenhouse gas, we can determine the amount of CO2 that would end up in the atmosphere if there were no human activity on the planet. Suppose naturally occurring CO2 emissions are 5 million tons per year, the social discount rate is 5%, and the stock dissipation rate is 2%. What is the eventual level of CO2 in the atmosphere if these natural emissions continue at this rate forever? A) 100 million tons B) 250 million tons C) 25 million tons D) We do not have enough information to answer this question.
________ are among the fastest-growing economic activities in the world.
A) Global manufacturing and supply-chain management B) Accounting and taxation C) Finance and human resources D) Exporting and importing
A new law applied to a competitive market that requires laid off workers be paid a large severance payment will
A) not generate a deadweight loss. B) increase total welfare. C) increase consumer surplus in the market. D) decrease consumer surplus in the market.
The theory of intertemporal choice was presented by ________
A) Adam Smith in 1776 B) Alfred Marshall in 1871 C) Irving Fisher in 1930 D) John Maynard Keynes in 1936