Refer to Figure 13-2. Ceteris paribus, an increase in the capital ...

[jrubin]

Refer to Figure 13-2. Ceteris paribus, an increase in the capital stock would be represented by a movement from
 
  A) SRAS1 to SRAS2. B) SRAS2 to SRAS1. C) point A to point B. D) point B to point A.

Question 2

If households in the economy decide to take money out of checking account deposits and put this money into savings accounts, this will initially
 
  A) decrease M1 and decrease M2. B) increase M1 and decrease M2.
  C) decrease M1 and not change M2. D) decrease M1 and increase M2.

[SVictor]

Answer to Question 1

A

Answer to Question 2

C

[jrubin]

YES! Correct, THANKS for helping me on my review

[pangili4]

Gracias!