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Author Question: Refer to Figure 11.2. Assume the economy is in equilibrium at 1, where real GDP equals potential ... (Read 293 times)

nelaaney

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on: Jun 30, 2018
Refer to Figure 11.2. Assume the economy is in equilibrium at 1, where real GDP equals potential GDP, and then the economy experiences a negative demand shock. Other things equal, the negative demand shock is best represented by a(n)
 
  A) movement up along the Phillips curve.
  B) movement down along the Phillips curve.
  C) upward shift of the Phillips curve.
  D) downward shift of the Phillips curve.

Question 2

When the Fed lends to depository institutions, the loans are called
 
  A) federal funds.
  B) discount loans.
  C) repurchase agreements.
  D) reverse repurchase agreements.


Sweetkitty24130

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

B

Answer to Question 2

B


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nelaaney

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Reply #2 on: Jun 30, 2018
Correct answers!


Sweetkitty24130

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Reply #3 on: Jun 30, 2018
Great! Please up vote :D


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