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Author Question: Suppose households unexpectedly increase consumption. Which of the following will occur as a result ... (Read 125 times)

sam.t96

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on: Jun 30, 2018
Suppose households unexpectedly increase consumption. Which of the following will occur as a result of this unexpected increase in consumption?
 
  A) an increase in stock prices
  B) a reduction in stock prices
  C) no change in stock prices
  D) an ambiguous effect on stock prices

Question 2

For each interest rate, the LM curve illustrates the level of output where
 
  A) the goods market is in equilibrium.
  B) inventory investment equals zero.
  C) money supply equals money demand.
  D) all of the above
  E) none of the above


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Mholman93

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

D

Answer to Question 2

C


sam.t96

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Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

bitingbit

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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