Homework Answers
9. the real GDP demanded decreases.
As price level increases, the total spending on goods and services falls back leading to a fall in real GDP.
10. liabilities for banks.
This is because when a depositor deposits the cash in bank, bank is liable to give back cash as and when the depositor demands.
11 Answer: $4
money multiplier = 1/ reserve ratio
= 1/ 0.25
=4
The total money supply = initial deposits *multiplier
=$1 *4
= $4
Add Answer to:
Question Completion Status: QUESTION 9 The slope of the aggregate demand curve indicates that, as the...
answer every single picture QUESTION 5 Suppose James transfers $500 from his checking account to...
answer every single picture
QUESTION 5 Suppose James transfers $500 from his checking account to his savings account. As a result of this action, OM1 stays the same and M2 falls. M1 falls and M2 stays the same. OBoth M1 and M2 fall. OBoth M1 and M2 stay the same. We were unable to transcribe this image1 poi QUESTION 7 Suppose the required reserve ratio is 25%. Assuming that banks hold no excess reserves and consumers hold no cash, this...
answer all QUESTION 14 The discount rate is the interest rate that O the Fed charges...
answer all
QUESTION 14 The discount rate is the interest rate that O the Fed charges on loans made to the government. O member banks charge on loans made to the Fed. O the government charges on loans made to the Fed. the Fed charges on loans made to member banks. QUESTION 15 The slope of the aggregate demand curve indicates that, as the price level increases, O the aggregate demand curve shifts rightward. O the real GDP demanded decreases....
THERE ARE 20 total QUESTIONS PLEASE ANSWER ALL OF THEM QUESTION 1 One way to reduce the recessio...
THERE ARE 20 total QUESTIONS PLEASE ANSWER ALL OF THEM
QUESTION 1 One way to reduce the recessionary gap through fiscal policy is to O increase government purchases. increase taxes. O decrease transfer payments. decrease the MPC QUESTION 2 Which of the following is true of open-market operations? It involves the purchase and sale of government securities by the central bank. O it involves the purchase and sale of stocks and bonds by private banks. It involves measures taken by...
Explain the effect of each of the following events on Mexico's aggregate demand. If the government...
Explain the effect of each of the following events on Mexico's aggregate demand. If the government of Mexico cuts income taxes, Mexico's aggregate demand O A. increases, and the aggregate demand curve shifts leftward O B. increases, and the aggregate demand curve shifts rightward O C. is unchanged, but the price level falls and quantity of real GDP demanded increases OD. decreases because it decreases the amount the government can spend O E. is unchanged because it just decreases the...
When the price level falls, aggregate demand ______. decreases and the AD curve shifts leftward does...
When the price level falls, aggregate demand ______. decreases and the AD curve shifts leftward does not change, but the quantity of real GDP demanded decreases and a movement up along the AD curve occurs does not change, but the quantity of real GDP demanded increases and a movement down along the AD curve occurs increases and the AD curve shifts rightward When Europe trades with Mexico and goes into a recession, ______.
Illustrate and briefly explain the beginning of a demand-pull inflation. 3. When answering parts a and b,...
Illustrate and briefly explain the beginning of a demand-pull inflation. 3. When answering parts a and b, draw the relevant Phillips curve. Using a short-run Phillips curve, what is the effect on the unemployment rate if the inflation rate unexpectedly rises. Using a long-run Phillips curve, what is the effect on the unemployment rate if the inflation rate rises and people expect the rise. Explain how your answer to part a about the unexpected rise in the inflation rate changes in...
There is a difference between a change in the quantity demanded of Real GDP and a change in aggregate demand.
There is a difference between a change in the quantity demanded of Real GDP and a change in aggregate demand. a. Explain the differences between a change in the quantity demanded of Real GDP and a change in aggregate demand. b. Graphically evaluate the difference between an increase in the quantity demanded of Real GDP and an increase in aggregate demand.c. List TWO (2) changes that would shift the AD curve rightward. d. List TWO (2) the changes that would shift the AD curve leftward.
10 ots The money market model shows how the interaction of potential GDP and aggregate demand...
10 ots The money market model shows how the interaction of potential GDP and aggregate demand determines the real GDP in the economy. The aggregate expenditure curve is downward sloping because people want to hold more money when the interest rate is higher ". On the other hand, the aggregate demand 7 curve is vertical If prices in the economy increase, then the money demand curve shifts inwards and the interest rate increases To lower the interest rate in the...
question 44 An increase in investment spending can be expected to the aggregate demand curve. interest...
question 44
An increase in investment spending can be expected to the aggregate demand curve. interest rates and cause o increase; a rightward shift of O increase; an upward movement along O decrease; a downward movement along O decrease; a leftward shift of O have no effect on; no change in DQuestion 44 1 pts Money serves as a unit of account when goods have a value expressed in the same currency, thus allowing comparisons O O have a value...
QUESTION 9 An automatic stabilizer is O a tool that helps reduce the effect of a fall in demand for a firm's pr...
QUESTION 9 An automatic stabilizer is O a tool that helps reduce the effect of a fall in demand for a firm's product. O a tool that ensures imports always equal exports in an economy a feature of the economy that reduces its sensitivity to shocks. O a feature of the economy that reduces its dependence on international trade. QUESTION 10 Which of the following is NOT a way for the Fed to increase aggregate demand? O Lowering the discount...
answer every single picture
QUESTION 5 Suppose James transfers $500 from his checking account to his savings account. As a result of this action, OM1 stays the same and M2 falls. M1 falls and M2 stays the same. OBoth M1 and M2 fall. OBoth M1 and M2 stay the same. We were unable to transcribe this image1 poi QUESTION 7 Suppose the required reserve ratio is 25%. Assuming that banks hold no excess reserves and consumers hold no cash, this...
answer all
QUESTION 14 The discount rate is the interest rate that O the Fed charges on loans made to the government. O member banks charge on loans made to the Fed. O the government charges on loans made to the Fed. the Fed charges on loans made to member banks. QUESTION 15 The slope of the aggregate demand curve indicates that, as the price level increases, O the aggregate demand curve shifts rightward. O the real GDP demanded decreases....
THERE ARE 20 total QUESTIONS PLEASE ANSWER ALL OF THEM
QUESTION 1 One way to reduce the recessionary gap through fiscal policy is to O increase government purchases. increase taxes. O decrease transfer payments. decrease the MPC QUESTION 2 Which of the following is true of open-market operations? It involves the purchase and sale of government securities by the central bank. O it involves the purchase and sale of stocks and bonds by private banks. It involves measures taken by...
Explain the effect of each of the following events on Mexico's aggregate demand. If the government of Mexico cuts income taxes, Mexico's aggregate demand O A. increases, and the aggregate demand curve shifts leftward O B. increases, and the aggregate demand curve shifts rightward O C. is unchanged, but the price level falls and quantity of real GDP demanded increases OD. decreases because it decreases the amount the government can spend O E. is unchanged because it just decreases the...
10 ots The money market model shows how the interaction of potential GDP and aggregate demand determines the real GDP in the economy. The aggregate expenditure curve is downward sloping because people want to hold more money when the interest rate is higher ". On the other hand, the aggregate demand 7 curve is vertical If prices in the economy increase, then the money demand curve shifts inwards and the interest rate increases To lower the interest rate in the...
question 44
An increase in investment spending can be expected to the aggregate demand curve. interest rates and cause o increase; a rightward shift of O increase; an upward movement along O decrease; a downward movement along O decrease; a leftward shift of O have no effect on; no change in DQuestion 44 1 pts Money serves as a unit of account when goods have a value expressed in the same currency, thus allowing comparisons O O have a value...
QUESTION 9 An automatic stabilizer is O a tool that helps reduce the effect of a fall in demand for a firm's product. O a tool that ensures imports always equal exports in an economy a feature of the economy that reduces its sensitivity to shocks. O a feature of the economy that reduces its dependence on international trade. QUESTION 10 Which of the following is NOT a way for the Fed to increase aggregate demand? O Lowering the discount...
Most questions answered within 3 hours.
-
In a multiple regression analysis, two independent variables are
considered, and the sample size is 26....
asked 52 minutes ago -
FOR JAVA:
Summary: Write a program to assess password stringency.
The solution should be named Password.java....
asked 54 minutes ago -
2. (1.5pt) Calculate [ClO-] in a 6.00% bleach solution. A 6.00%
bleach solution contains 6.00g of...
asked 2 hours ago -
Protons in cosmic rays have been observed with kinetic energies
as large as 1.0×1020eV.
How fast...
asked 3 hours ago -
How do you explain that it is not fair for teachers to verbally
abuse you over...
asked 3 hours ago -
Ang Electronics, Inc., has developed a new HD DVD. If the HD DVD
is successful, the...
asked 4 hours ago -
which of these substances cannot behave as a lewis base in an aq
solution
a- Co...
asked 4 hours ago -
Below are some of Toyota’s (an automotive manufacturer) costs to
manufacture a car: I. Depreciation of...
asked 4 hours ago -
A random sample of 40 cups of coffee from a vending machine had
a sample mean...
asked 4 hours ago -
The mercury in a fish sample is determined to be 1.80, 1.58 and
1.64 ppm. Calculate...
asked 4 hours ago -
Suppose a photon is equally likely to be found anywhere in an
interval of 28.5 cm...
asked 4 hours ago -
Suppose the following is a divide-and-conquer algorithm for some
problem.
"Make the input of size n...
asked 4 hours ago