(05.02 MC) Assume that the citizens of a country decide to save more and consume less due to a natural disaster. How does the movement along the short-run Phillips curve get affected, due to the demand shock in a country?

(04.01–04.07 HC) For all graphs, be sure to correctly and completely label all axes and curves and use arrows to indicate the direction of any shifts.The loanable funds market in an economy is in equilibrium. Draw a correctly labeled graph of the loanable funds market, labeling the equilibrium real interest rate and the equilibrium quantity. Show the impact of a decrease in the money supply for this economy in your graph from part (a). Will the result be a shortage or surplus in the loanable funds market at the original equilibrium? Will lenders of existing fixed-rate loans be better or worse off as a result of the change in the real interest rate? How will investment spending on facilities and equipment in this economy be impacted? Explain.

(05.07 MC) What would be the long-run consequence of the government introducing a deregulation policy?

(05.04 MC) The sum of government purchases and transfer payments for a given year is $1.2 trillion, while total government revenue was $1 trillion. If in the following year, the government spent more and took in less revenue, which of the following would be true?

(03.06 MC) What happens when a country experiences a positive demand shock in the short run?

(05.03 MC) Assume that the money supply in an economy is $900 million, the velocity of money is constant at 5, and the price per unit of output is $3. What is the real and the nominal GDP?

(05.06 MC) Use the table to answer the question that follows: Year 1999 2000 Population (in million) 2.5 3 Real GDP per capita $40 $45 Which is the correct percentage growth in real GDP from 1999 to 2000?

(04.07 MC) Use the data table to answer the question that follows. GDP $20 billion Household consumption $12 billion Government tax revenue $4 billion Government spending $5 billion Net exports $0 Based on the data table, what would be the national savings for this economy?

(05.05 MC) Which of the following policy measures can lead to a crowding-out effect in an economy that has a budget deficit?

(02.01 LC) The circular flow model of the economy divides economic activity into two broad categories, which are