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Which of the following explains why the money demand curve i…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
Which of the following explains why the money demand curve is downward sloping in the model of liquidity preference?
Continue reading “Which of the following explains why the money demand curve i…”…

Which of the following would make real GDP increase? (select…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
Which of the following would make real GDP increase? (select all that apply)
Continue reading “Which of the following would make real GDP increase? (select…”…

Consider the following aggregate demand and aggregate supply…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
Consider the following aggregate demand and aggregate supply picture. Suppose the economy starts at point C. An adverse weather event would move the economy to which point in the short-run? 
Continue reading “Consider the following aggregate demand and aggregate supply…”…

Suppose an adverse weather event moves the economy into a re…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
Suppose an adverse weather event moves the economy into a recession at point B in the following picture. Which of the following would be true.
Continue reading “Suppose an adverse weather event moves the economy into a re…”…

If the marginal propensity to consume is 3/4, then the margi…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
If the marginal propensity to consume is 3/4, then the marginal propensity to save is 4/3.
Continue reading “If the marginal propensity to consume is 3/4, then the margi…”…

The US entered World War II in 1941. The impact this had on…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
The US entered World War II in 1941. The impact this had on the US economy is consistent with what would be predicted by the aggregate demand and aggregate supply model. 
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Consider an economy in recession. Suppose that the governmen…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
Consider an economy in recession. Suppose that the government chooses to do nothing to try to get the economy out of the recession. The recession will still end as firms adjust their expectations about the future price level. 
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Economists refer to fluctuations in output as the “business…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
Economists refer to fluctuations in output as the “business cycle” because movements in output are regular and predictable.
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One of the key facts about recessions is that real GDP and u…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
One of the key facts about recessions is that real GDP and unemployment tend to move in opposite directions. 
Continue reading “One of the key facts about recessions is that real GDP and u…”…

Consider the following aggregate demand and aggregate supply…

Posted on: June 21, 2025 Last updated on: November 21, 2025 Written by: Anonymous
Consider the following aggregate demand and aggregate supply picture. Suppose the economy starts at point C. An increase in the money supply would move the economy to which point in the short-run? 
Continue reading “Consider the following aggregate demand and aggregate supply…”…
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