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

Author Question: In the Keynesian system, an increase in the money stock would a. increase the interest rate, ... (Read 106 times)

michelleunicorn

  • Hero Member
  • *****
  • Posts: 565
on: Jun 30, 2018
In the Keynesian system, an increase in the money stock would
 
  a. increase the interest rate, which, in turn, would increase aggregate demand and income.
  b. decrease the interest rate, which, in turn, would decrease aggregate demand and income.
  c. decrease the interest rate, which, in turn, would increase aggregate demand and income.
  d. decrease the interest rate but would have no effect on aggregate demand and income.

Question 2

Which of the following would be evidence against rational expectations?
 
  a. unpredictable changes in policy have real effects.
  b. new information leads to changes in output.
  c. the public never make mistakes with respect to price level predictions.
  d. changes in stock prices change much more often than new information becomes available.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

BAOCHAU2803

  • Sr. Member
  • ****
  • Posts: 316
Reply #1 on: Jun 30, 2018
Answer to Question 1

C

Answer to Question 2

D


michelleunicorn

  • Member
  • Posts: 565
Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

brbarasa

  • Member
  • Posts: 308
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Normal urine is sterile. It contains fluids, salts, and waste products. It is free of bacteria, viruses, and fungi.

Did you know?

Street names for barbiturates include reds, red devils, yellow jackets, blue heavens, Christmas trees, and rainbows. They are commonly referred to as downers.

Did you know?

For high blood pressure (hypertension), a new class of drug, called a vasopeptidase blocker (inhibitor), has been developed. It decreases blood pressure by simultaneously dilating the peripheral arteries and increasing the body's loss of salt.

Did you know?

ACTH levels are normally highest in the early morning (between 6 and 8 A.M.) and lowest in the evening (between 6 and 11 P.M.). Therefore, a doctor who suspects abnormal levels looks for low ACTH in the morning and high ACTH in the evening.

Did you know?

A cataract is a clouding of the eyes' natural lens. As we age, some clouding of the lens may occur. The first sign of a cataract is usually blurry vision. Although glasses and other visual aids may at first help a person with cataracts, surgery may become inevitable. Cataract surgery is very successful in restoring vision, and it is the most frequently performed surgery in the United States.

Increasing access to care for teen mothers is important because they have a higher rate of pregnancy ... Increasing access to care for teen mothers is important because they have a higher rate of pregnancy ...
Procedures and Diagnostic Tests Related to the Cardiovascular System Procedures and Diagnostic Tests Related to the Cardiovascular System
The J2534 pass-through reprogramming system does not need a scan tool to reflash the PCM on most ... The J2534 pass-through reprogramming system does not need a scan tool to reflash the PCM on most ...
The respiratory system. The respiratory system.
Calculate the amount of interest that will be charged on $9000.00 borrowed for four months at ... Calculate the amount of interest that will be charged on $9000.00 borrowed for four months at ...
Components of the lymphatic system Components of the lymphatic system
Video: DNA fingerprinting Animation

For a complete list of videos, visit our video library