If an economy is currently operating at its potential level of real GDP, an increase in aggregate demand will
A. increase the price level.
B. decrease the price level.
C. cause stagflation.
D. produce long-run economic growth.
A. increase the price level.
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Tax laws affect
A) economic efficiency but not equity. B) consumption and production, not efficiency and equity. C) both efficiency and equity. D) equity but not economic efficiency.
The World Bank was created as a result of the Bretton Woods conference and was originally focused on the reconstruction of Europe after World War II
Indicate whether the statement is true or false
A firm should make an investment if the expected return is greater than
A) the marginal cost of the investment. B) the fixed cost of the investment. C) the opportunity cost of the investment. D) the expected rate of inflation.
Which of the following are NOT part of the World Bank?
A) International Development Association B) Federal Reserve Bank of New York C) International Center for Settlement of Investment Disputes D) Multinational Investment Guarantee Agency