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Author Question: Which of the following will cause an increase in current consumption? A) an increase in current ... (Read 96 times)

JGIBBSON

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on: Jun 30, 2018
Which of the following will cause an increase in current consumption?
 
  A) an increase in current disposable income
  B) an increase in financial wealth
  C) an increase in human wealth
  D) all of the above
  E) both B and C

Question 2

Suppose that the nominal interest rate and expected inflation both decrease by 2. Given this information, we would expect which of the following to occur?
 
  A) an increase in the real interest rate
  B) a reduction in the real interest rate
  C) a reduction in investment
  D) an increase in money demand
  E) both A and C


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bimper21

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Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

D


JGIBBSON

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Reply 2 on: Jun 30, 2018
Gracias!

Dominic

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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