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Author Question: How does a decrease in government spending affect the aggregate expenditure line? A) It increases ... (Read 104 times)

jazziefee

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on: Jun 29, 2018
How does a decrease in government spending affect the aggregate expenditure line?
 
  A) It increases the slope of the aggregate expenditure line.
  B) It shifts the aggregate expenditure line downward.
  C) It decreases the slope of the aggregate expenditure line.
  D) It shifts the aggregate expenditure line upward.

Question 2

If the bank of Waterloo receives a 10,000 deposit and the reserve requirement is 10 percent, how much can the bank loan out? (Assume that before the deposit this bank is just meeting its legal reserve requirement.)
 
  A) 1,000 B) 9,000 C) 10,000 D) 11,000


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janieazgirl

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Reply #1 on: Jun 29, 2018
Answer to Question 1

B

Answer to Question 2

B


jazziefee

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Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)

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Reply 3 on: Yesterday
Excellent

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