« previous next »

Author Question: When would the Fed want to carry out a monetary policy that decreases aggregate demand? What will ... (Read 70 times)

urbanoutfitters

  • Hero Member
  • *****
  • Posts: 530
on: Jun 29, 2018
When would the Fed want to carry out a monetary policy that decreases aggregate demand?
 
  What will be an ideal response?

Question 2

________ increases potential GDP.
 
  A) A decrease in the money wage rate
  B) A recessionary gap
  C) A recession
  D) An increase in the amount of human capital
  E) An increase in aggregate demand


jomama

  • Sr. Member
  • ****
  • Posts: 346
Reply #1 on: Jun 29, 2018
Answer to Question 1

The Fed wants to decrease aggregate demand when it is worried about inflation, that is, when there is an inflationary ga

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Intradermal injections are somewhat difficult to correctly administer because the skin layers are so thin that it is easy to accidentally punch through to the deeper subcutaneous layer.

Did you know?

Only 12 hours after an egg cell is fertilized by a sperm cell, the egg cell starts to divide. As it continues to divide, it moves along the fallopian tube toward the uterus at about 1 inch per day.

Did you know?

Green tea is able to stop the scent of garlic or onion from causing bad breath.

Did you know?

During pregnancy, a woman is more likely to experience bleeding gums and nosebleeds caused by hormonal changes that increase blood flow to the mouth and nose.

Did you know?

Though methadone is often used to treat dependency on other opioids, the drug itself can be abused. Crushing or snorting methadone can achieve the opiate "rush" desired by addicts. Improper use such as these can lead to a dangerous dependency on methadone. This drug now accounts for nearly one-third of opioid-related deaths.

An intra-aortic balloon pump increases circulation to the coronary arteries and decreases the worklo An intra-aortic balloon pump increases circulation to the coronary arteries and decreases the worklo
Atmospheric pressure decreases with increase in altitude. Atmospheric pressure decreases with increase in altitude.
The growing demand for electrical power, carbon sequestration and storage must be a priority The growing demand for electrical power, carbon sequestration and storage must be a priority
Growth in the demand for oil from the developing world Growth in the demand for oil from the developing world
Reptiles (lizards, snakes, and turtles) often carry Salmonella Reptiles (lizards, snakes, and turtles) often carry Salmonella
Suppose a country imports televisions. The country's supply and demand curves are shown in ... Suppose a country imports televisions. The country's supply and demand curves are shown in ...
Video: Sickle Cell Anemia

For a complete list of videos, visit our video library