This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Suppose the economy is in long-run and short-run equilibrium. The Fed changes its policy by raising ... (Read 46 times)

genevieve1028

  • Hero Member
  • *****
  • Posts: 601
on: Jun 30, 2018
Suppose the economy is in long-run and short-run equilibrium. The Fed changes its policy by raising the difference between the discount rate and the federal funds rate. In the long run we would expect to observe
 
  A) a higher real national income. B) a lower real national income.
  C) a higher price level. D) a lower price level.

Question 2

If an undervalued currency is allowed to float:
 
  A) its value will depreciate.
  B) its quantity supplied in exchange for the other currency will decrease.
  C) its quantity demanded in exchange for the other currency will increase.
  D) its value will appreciate.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

samiel-sayed

  • Sr. Member
  • ****
  • Posts: 337
Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

D


genevieve1028

  • Member
  • Posts: 601
Reply 2 on: Jun 30, 2018
Thanks for the timely response, appreciate it

nathang24

  • Member
  • Posts: 314
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

In 1844, Charles Goodyear obtained the first patent for a rubber condom.

Did you know?

According to the Migraine Research Foundation, migraines are the third most prevalent illness in the world. Women are most affected (18%), followed by children of both sexes (10%), and men (6%).

Did you know?

According to animal studies, the typical American diet is damaging to the liver and may result in allergies, low energy, digestive problems, and a lack of ability to detoxify harmful substances.

Did you know?

Hyperthyroidism leads to an increased rate of metabolism and affects about 1% of women but only 0.1% of men. For most people, this increased metabolic rate causes the thyroid gland to become enlarged (known as a goiter).

Did you know?

Cucumber slices relieve headaches by tightening blood vessels, reducing blood flow to the area, and relieving pressure.

The answer to “What is the proper role of children in an economy?” varies by social class, ... The answer to “What is the proper role of children in an economy?” varies by social class, ...
Homeschooling has come a long way. These children are performing in a musical at the annual ... Homeschooling has come a long way. These children are performing in a musical at the annual ...
North America and the Global Economy North America and the Global Economy
Apply the substance to the arm with long, smooth strokes, then cover the arm and abdomen with the ... Apply the substance to the arm with long, smooth strokes, then cover the arm and abdomen with the ...
The dissociation equilibrium constants for the protonated form of alanine (a diprotic amino ... The dissociation equilibrium constants for the protonated form of alanine (a diprotic amino ...
Write equilibrium constant expressions for the following reactions in terms of concentration: Write equilibrium constant expressions for the following reactions in terms of concentration:
Video: A Human Karyotype Preparation Animation

For a complete list of videos, visit our video library