An increase in the supply of money would decrease the interest rate and increase aggregate demand, other things equal
a. True
b. False
Indicate whether the statement is true or false
True
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Total surplus is the sum of producer’s surplus and consumer’s surplus.
Answer the following statement true (T) or false (F)
A daily auction at the Chicago Board of Trade sets
A) Federal funds rate. B) 10-year bond rate. C) Discount rate. D) Prime rate. E) Credit cards rate.
According to economists, the fixed-price model of macroeconomic equilibrium depicts the modern economy most closely because it assumes that aggregate supply is independent of price
a. True b. False Indicate whether the statement is true or false
When the U.S. Treasury issues new bonds to replace bonds that have matured, it is engaging in
A. Income transfers. B. Debt servicing. C. Discretionary fiscal spending. D. Debt refinancing.