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

Author Question: The aggregate supply curve shows the relationship between the: a. The Consumer Price Index and the ... (Read 71 times)

clmills979

  • Hero Member
  • *****
  • Posts: 551
on: Jun 30, 2018
The aggregate supply curve shows the relationship between the:
 a. The Consumer Price Index and the level of output.
  b. Real risk-free interest rate and expected inflation.
  c. The nation's average price level (i.e., the implicit price index) and the level of output.
  d. Nominal exchange rate and level of output.
  e. None of these answers is correct.

Question 2

Assume that the central bank lowers the discount to increase the nation's monetary base. If the nation has highly mobile international capital markets and a fixed exchange rate system, what happens to the current international transactions balance and monetary base in the context of the Three-Sector-Model? State your answer after the macroeconomic system returns to complete equilibrium.
 a. The current international transactions balance rises and monetary base rises.
  b. The current international transactions balance rises and monetary base falls.
  c. The current international transactions balance and monetary base fall.
  d. The current international transactions balance and monetary base remain the same.
  e. There is not enough information to determine what happens to these two macroeconomic variables.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

xoxo123

  • Sr. Member
  • ****
  • Posts: 335
Reply #1 on: Jun 30, 2018
Answer to Question 1

.C

Answer to Question 2

.D


clmills979

  • Member
  • Posts: 551
Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

apple

  • Member
  • Posts: 352
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

People with alcoholism are at a much greater risk of malnutrition than are other people and usually exhibit low levels of most vitamins (especially folic acid). This is because alcohol often takes the place of 50% of their daily intake of calories, with little nutritional value contained in it.

Did you know?

The horizontal fraction bar was introduced by the Arabs.

Did you know?

There are over 65,000 known species of protozoa. About 10,000 species are parasitic.

Did you know?

In 2006, a generic antinausea drug named ondansetron was approved. It is used to stop nausea and vomiting associated with surgery, chemotherapy, and radiation therapy.

Did you know?

Between 1999 and 2012, American adults with high total cholesterol decreased from 18.3% to 12.9%

Example of the Index to External Causes. Example of the Index to External Causes.
Apply L stroke on terminus. Place your index and middle fingers on the left and right terminus; ... Apply L stroke on terminus. Place your index and middle fingers on the left and right terminus; ...
Classic Supply - Demand Curve Classic Supply - Demand Curve
Relationship between Income Inequality and the Desired Tax Rate Relationship between Income Inequality and the Desired Tax Rate
A comparison of a trait (height) that shows discontinuous and continuous phenotypes in different pla A comparison of a trait (height) that shows discontinuous and continuous phenotypes in different pla
The lifetime risk for schizophrenia varies with the degree of relationship to an affected individual The lifetime risk for schizophrenia varies with the degree of relationship to an affected individual
Video: Primate Evolutionary Tree Animation

For a complete list of videos, visit our video library