Refer to Figure 17-2. Suppose the Fed used expansionary policy to ...

[BrownTown3]

Refer to Figure 17-2. Suppose the Fed used expansionary policy to push short-run equilibrium to point B. If the short-run equilibrium remained at point B long enough,
 
  A) the economy would move back to point A.
  B) the short-run Phillips curve would shift down.
  C) the economy would stay at point B in the long run.
  D) the short-run Phillips curve would shift up.

Question 2

Which of the following is an example of foreign direct investment in China?
 
  A) Chinese Shenzen Airlines company buys a small U.S. midwest airline company, Air Chicago.
  B) The bank of China purchases U.S. Treasury bonds.
  C) A U.S. foreign exchange speculator buys 200,000 worth of the Chinese currency the yuan.
  D) The U.S. company Walmart buys a warehouse in Shanghai.
  E) U.S. auto entrepreneur Elon Musk buys stock in Alibaba Group Holding Limited of Hangzhou, China.

[Chou]

Answer to Question 1

D

Answer to Question 2

D

[BrownTown3]

Excellent

[meganmoser117]

TYSM