Author Question: The interest rate effect suggests that the negative slope of the aggregate demand curve results at ... (Read 36 times)

mp14

  • Hero Member
  • *****
  • Posts: 534
The interest rate effect suggests that the negative slope of the aggregate demand curve results at least in part because changes in the price level affect:
 a. domestic purchases of foreign goods.
 b. the holdings of money by households and firms.
  c. the real purchasing power of assets.
 d. the level of income.

Question 2

The government sector sells resource services to households and buys goods and services from firms.
 a. True
  b. False
  Indicate whether the statement is true or false



bhavsar

  • Sr. Member
  • ****
  • Posts: 351
Answer to Question 1

b

Answer to Question 2

False



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Normal urine is sterile. It contains fluids, salts, and waste products. It is free of bacteria, viruses, and fungi.

Did you know?

About 60% of newborn infants in the United States are jaundiced; that is, they look yellow. Kernicterus is a form of brain damage caused by excessive jaundice. When babies begin to be affected by excessive jaundice and begin to have brain damage, they become excessively lethargic.

Did you know?

The average older adult in the United States takes five prescription drugs per day. Half of these drugs contain a sedative. Alcohol should therefore be avoided by most senior citizens because of the dangerous interactions between alcohol and sedatives.

Did you know?

Though newer “smart” infusion pumps are increasingly becoming more sophisticated, they cannot prevent all programming and administration errors. Health care professionals that use smart infusion pumps must still practice the rights of medication administration and have other professionals double-check all high-risk infusions.

Did you know?

Common abbreviations that cause medication errors include U (unit), mg (milligram), QD (every day), SC (subcutaneous), TIW (three times per week), D/C (discharge or discontinue), HS (at bedtime or "hours of sleep"), cc (cubic centimeters), and AU (each ear).

For a complete list of videos, visit our video library