Reducing the government's budget deficit will certainly increase economic growth
a. True
b. False
B
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Managers can increase firm profits by:
A) increasing revenue only. B) decreasing costs only. C) increasing revenue and decreasing costs. D) none of the above.
Assume that when $100 of new reserves enter the banking system, the money supply ultimately increases by $800 . Assume also that no banks hold excess reserves and that the entire money supply consists of bank deposits. If, at a point in time, reserves for all banks amount to $750, then at that same point in time, loans for all banks amount to $6,000
a. True b. False Indicate whether the statement is true or false
When money wages rise, the most significant effect on the aggregate supply curve is that it
A. shifts outward. B. shifts inward. C. becomes flatter. D. becomes steeper.
In Figure 20.2, if Aggregate Demand does not change, the increase in Real GDP will be accompanied by 
A. lower real wages. B. no change in the price level. C. a lower price level. D. a higher price level.