Homework Answers
Option C
Explanation: Labor demand increases and so does the nominal wage in the beginning.
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At the beginning of an expansion, which of the following is most likely to be true? O A. Firms increase spending on cap...
QUESTION 36 Which of the following is most likely to increase U.S. exports? O a. The...
QUESTION 36 Which of the following is most likely to increase U.S. exports? O a. The government reduces the size of the budget surplus. Ob. The government gives subsidies to U.S. firms that export goods or services. OC. Taxes on domestic saving rise. Od. The United States unilaterally reduces its restrictions on foreign imports.
Which of the following government acts will most likely lead to an increase in the level...
Which of the following government acts will most likely lead to an increase in the level of aggregate demand? A reduction in: public spending on social goods and infrastructure the capital gains tax foreign-based purchases direct investments transfer payments
When a recession ends, O A. the household sector decreases spending substantially. O B. firms increase...
When a recession ends, O A. the household sector decreases spending substantially. O B. firms increase the amount of borrowing O C. interest rates decrease. O D. households decrease spending on durable goods.
What sequence of events results from a decrease in aggregate demand? O A. The price level...
What sequence of events results from a decrease in aggregate demand? O A. The price level rises, inventories decline, firms respond by increasing output and employment. O B. The price level falls, inventories increase, firms respond by reducing output and employment. O C. The price level rises, inventories increase, firms respond by increasing output and employment. O D. The price level falls, inventories decline, firms respond by increasing output and employment.
Which would most likely shift the aggregate supply curve? A change in the prices of _____....
Which would most likely shift the aggregate supply curve? A change in the prices of _____. domestic products foreign products financial assets resources A decrease in aggregate demand in the short run will reduce _____. both real output and the price level the price level and increase the real domestic output the real domestic output and have no effect on the price level the price level and have no effect on real domestic output The economy's long-run AS curve assumes...
Residential investment includes spending by firms on office buildings. Select one: O True O False The...
Residential investment includes spending by firms on office buildings. Select one: O True O False The GDP deflator is a measure of the Select one: O a. average level of prices of intermediate goods and services in the economy. O b. average level of prices of final goods and services in the economy. O c. total production of the economy unadjusted for inflation. O d.) total production of the economy adjusted for inflation. To examine how the total production of...
can someone explain please Question 5 0/2 pts Which of the following is most likely to...
can someone explain please
Question 5 0/2 pts Which of the following is most likely to cause an increase in the inflation rate? a reduction in the percentage of workers who are in labor unions an increase in competition between firms an increase in the non-labor costs of production an increase in the unemployment rate Rising unemployment tends to put downward pressure on wages and prices. In the figure below, when employment is at the level at point C, the...
Which of the following is not true about the expansion of (2a - 3b)? O A....
Which of the following is not true about the expansion of (2a - 3b)? O A. For Osrsn, the (r + 1)" term of the expansion of (2a – 3b) is equivalent to 6 (2a)"""(-36). OB. The terms of the expansion alternate in sign with the sign of the first term being positive. OC. The last term of the expansion is equivalent to OD. The first term of the expansion is equivalent to
Help please I am so confused 1. Assume that nominal wages are sticky and that firms...
Help please I am so confused
1. Assume that nominal wages are sticky and that firms determine the level of employment in the short run. Use an AD/AS diagram to model the goods market, a labor demand/supply diagram to model the labor market, and the loanable funds diagram to model the financial market. Assume that in addition to the real interest, consumption depends on current disposable income and the present value of future disposable income. Speculate what would happen in...
Question 13 (Ch21&22) An increase in (i) tax benefits for saving; (ii) the desire of households...
Question 13 (Ch21&22) An increase in (i) tax benefits for saving; (ii) the desire of households to consume today; (iii) corporate taxes; (iv) expected future profits; and (v) the government's budget deficit will cause effects shown in the following graphs respectively. SS SS a. b. A) b, a, b, c, and a B) c, a, d, c, and a C) b, a, d, d, and a D) b, a, d, c, and a Question 14 (Ch21&22) What kind of situations...
QUESTION 36 Which of the following is most likely to increase U.S. exports? O a. The government reduces the size of the budget surplus. Ob. The government gives subsidies to U.S. firms that export goods or services. OC. Taxes on domestic saving rise. Od. The United States unilaterally reduces its restrictions on foreign imports.
When a recession ends, O A. the household sector decreases spending substantially. O B. firms increase the amount of borrowing O C. interest rates decrease. O D. households decrease spending on durable goods.
What sequence of events results from a decrease in aggregate demand? O A. The price level rises, inventories decline, firms respond by increasing output and employment. O B. The price level falls, inventories increase, firms respond by reducing output and employment. O C. The price level rises, inventories increase, firms respond by increasing output and employment. O D. The price level falls, inventories decline, firms respond by increasing output and employment.
Residential investment includes spending by firms on office buildings. Select one: O True O False The GDP deflator is a measure of the Select one: O a. average level of prices of intermediate goods and services in the economy. O b. average level of prices of final goods and services in the economy. O c. total production of the economy unadjusted for inflation. O d.) total production of the economy adjusted for inflation. To examine how the total production of...
can someone explain please
Question 5 0/2 pts Which of the following is most likely to cause an increase in the inflation rate? a reduction in the percentage of workers who are in labor unions an increase in competition between firms an increase in the non-labor costs of production an increase in the unemployment rate Rising unemployment tends to put downward pressure on wages and prices. In the figure below, when employment is at the level at point C, the...
Which of the following is not true about the expansion of (2a - 3b)? O A. For Osrsn, the (r + 1)" term of the expansion of (2a – 3b) is equivalent to 6 (2a)"""(-36). OB. The terms of the expansion alternate in sign with the sign of the first term being positive. OC. The last term of the expansion is equivalent to OD. The first term of the expansion is equivalent to
Help please I am so confused
1. Assume that nominal wages are sticky and that firms determine the level of employment in the short run. Use an AD/AS diagram to model the goods market, a labor demand/supply diagram to model the labor market, and the loanable funds diagram to model the financial market. Assume that in addition to the real interest, consumption depends on current disposable income and the present value of future disposable income. Speculate what would happen in...
Question 13 (Ch21&22) An increase in (i) tax benefits for saving; (ii) the desire of households to consume today; (iii) corporate taxes; (iv) expected future profits; and (v) the government's budget deficit will cause effects shown in the following graphs respectively. SS SS a. b. A) b, a, b, c, and a B) c, a, d, c, and a C) b, a, d, d, and a D) b, a, d, c, and a Question 14 (Ch21&22) What kind of situations...
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