Which of the following is not a monetary policy tool for shifting the aggregate demand curve?
A. Open-market operations.
B. Government spending.
C. The discount rate.
D. The reserve requirement.
B. Government spending.
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Refer to Figure 16-1. Suppose the economy is in short-run equilibrium above potential GDP and automatic stabilizers move the economy back to long-run equilibrium
Using the static AD-AS model in the figure above, this would be depicted as a movement from A) D to C. B) B to A. C) C to B. D) E to A. E) A to E.
What is a corporate bond and what does it specify?
What will be an ideal response?
Economic depreciation is
A. the change in the distribution of real income induced by a tax. B. the extent to which an asset decreases in value during a period of time. C. the money value of the net increase in an individual's power to consume during a period. D. a subtraction from tax liability (as opposed to a subtraction from taxable income).
If politicians decide to proceed with protection, why might economists prefer tariffs to quotas? Explain at least three reasons
What will be an ideal response?