Logan finds 10 in his jacket pocket and deposits it into a bank. As a result of this single transaction, M1 has
A) increased by more than 10. B) increased by 10.
C) not changed. D) increased by less than 10.
Question 2
What happens to U.S. GDP when foreign countries experience prosperity?
A) It increases because the United States will export more product to those countries.
B) It does not change because U.S. GDP is not affected by other countries' prosperity.
C) It decreases because the foreign countries will be able to export more at a lower cost.
D) It decreases because the foreign countries will now buy more of their own products.
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