Author Question: An increase in the supply of money will: a. reduce the rate of interest and, thereby, trigger an ... (Read 65 times)

lunatika · **on:** Jun 30, 2018

An increase in the supply of money will:
a. reduce the rate of interest and, thereby, trigger an increase in current spending by households and businesses.
b. reduce aggregate demand and real output.
c. increase only the general level of prices.
d. lead to a higher rate of unemployment.

Question 2

A criticism of the unemployment rate is that:
a. underemployment is measured in the calculation.
b. the data includes part-time workers as fully employed.
c. discouraged workers are included in the calculation.
d. all of these are problems.