- The Board Of Governors Of The Federal Reserve Does Each Of The Following Except Sit On The Federal Open Market Committe 1 (51.37 KiB) Viewed 70 times
- The Board Of Governors Of The Federal Reserve Does Each Of The Following Except Sit On The Federal Open Market Committe 2 (40 KiB) Viewed 70 times
An increase in the money supply will tend to: O lower interest rates and increase the equilibrium GDP. O do none of the above. O increase interest rates and increase the equilibrium GDP. O lower interest rates and lower the equilibrium GDP. o increase interest rates and lower the equilibrium GDP.
If full employment GDP is $500 billion greater than equilibrium GDP and the multiplier is 5, there is a deflationary gap: O that is impossible to find. of $50 billion. $100 billion. of $200 billion. of $500 billion.
There are two ways to lower the deficit: raise taxes and raise government spending. raise taxes and lower government spending. lower taxes and lower government spending. lower taxes and raise government spending.
How large will the total change in income be from a change in investment of $15 if the marginal propensity to consume (MPC) is .8? $20 O $12 $25 $200 O $75
During an inflation Republicans would be most in favor of: O spending cuts. O tax increases. tax cuts. . O spending increases.
The “crowding-out effect" suggests that: government spending is increasing at the expense of private investment. consumption is increasing at the expense of investment. O private investment is increasing at the expense of government spending O imports are replacing domestic production.
As potential real GDP is approached, the aggregate supply curve: o becomes steeper. is downward sloping. becomes flatter. O remains unchanged.
The curve showing various quantities of total real output that will be offered for sale at various alternative price levels is called the: aggregate supply curve. aggregate individual demand curve. O yield curve. O real gross domestic investment curve. aggregate demand curve.