Which of the following will increase both money supply and money demand in the short run?

a. An open market sale of bonds by the Fed
b. An open market purchase of bonds by the Fed
c. An increase in government purchases
d. A decrease in taxes
e. An increase in autonomous consumption


B

Economics

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The income elasticity of demand is defined as the percentage change in

A) the quantity demanded resulting from a given percentage change in price. B) income divided by the percentage change in quantity demanded. C) the movement along the demand curve resulting from a change in income. D) the quantity demanded divided by the percentage change in income.

Economics

Refer to Figure 9-3. What is the value of domestic producer surplus without a quota?

A) $5 million B) $15.75 million C) $38.5 million D) $53.5 million

Economics

Explain the causes of the U.S. Savings and Loans crisis of the early 1980s

What will be an ideal response?

Economics

The market wage could be higher than the equilibrium wage if a worker

a. is a superstar. b. belongs to a labor union. c. has more human capital. d. All of the above are correct.

Economics