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

Author Question: If the price level in the current year is much higher than the expected price level, _____. a. ... (Read 51 times)

tnt_battle

  • Hero Member
  • *****
  • Posts: 556
on: Jun 30, 2018
If the price level in the current year is much higher than the expected price level, _____.
 a. firms will increase production beyond the economy's potential level
  b. the unemployment rate will increase
 c. firms will decrease production below the economy's potential level
  d. the short-run aggregate supply curve will become steeper
 e. the unemployment rate will fall to zero

Question 2

The money demand curve slopes:
 a. downward because the cost of holding money decreases as the interest rate decreases.
 b. downward because the cost of holding money increases as the interest rate decreases.
 c. upward because people demand more money as real GDP increases.
 d. upward because people demand more money as real GDP decreases.
 e. downward because people demand more money as the price level decreases.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

al

  • Sr. Member
  • ****
  • Posts: 344
Reply #1 on: Jun 30, 2018
Answer to Question 1

a

Answer to Question 2

a


tnt_battle

  • Member
  • Posts: 556
Reply 2 on: Jun 30, 2018
Excellent

Joy Chen

  • Member
  • Posts: 354
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

It is widely believed that giving a daily oral dose of aspirin to heart attack patients improves their chances of survival because the aspirin blocks the formation of new blood clots.

Did you know?

The first war in which wide-scale use of anesthetics occurred was the Civil War, and 80% of all wounds were in the extremities.

Did you know?

Patients who have been on total parenteral nutrition for more than a few days may need to have foods gradually reintroduced to give the digestive tract time to start working again.

Did you know?

Though the United States has largely rejected the metric system, it is used for currency, as in 100 pennies = 1 dollar. Previously, the British currency system was used, with measurements such as 12 pence to the shilling, and 20 shillings to the pound.

Did you know?

Vaccines cause herd immunity. If the majority of people in a community have been vaccinated against a disease, an unvaccinated person is less likely to get the disease since others are less likely to become sick from it and spread the disease.

On average, the ratio of carbon to nitrogen is much higher in terrestrial plants than in other major On average, the ratio of carbon to nitrogen is much higher in terrestrial plants than in other major
Defibrillator. Defibrillators are devices that supply a voltage charge to the heart in the hope of r Defibrillator. Defibrillators are devices that supply a voltage charge to the heart in the hope of r
The gap between the projected level of greenhouse gas emissions The gap between the projected level of greenhouse gas emissions
Parents who have higher levels of education encourage their children to be educated Parents who have higher levels of education encourage their children to be educated
Current intensity and the frequency of action potentials Current intensity and the frequency of action potentials
Video: Nervous pathway to the Neuromuscular (NMJ)

For a complete list of videos, visit our video library