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Author Question: The Ricardo-Barro effect says that a government budget deficit leads to A) no change in the real ... (Read 113 times)

Mr.Thesaxman

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on: Jun 29, 2018
The Ricardo-Barro effect says that a government budget deficit leads to
 
  A) no change in the real interest rate.
  B) a lower real interest rate.
  C) an increase in the quantity of investment.
  D) a higher real interest rate.
  E) an increase in demand for loanable funds.

Question 2

The natural rate hypothesis asserts that
 
  A) changes in the unemployment rate from changes in the inflation rate are temporary.
  B) changes in the unemployment rate are natural and long-lasting.
  C) when prices change, the inflation rate changes temporarily and then returns to its natural rate.
  D) changes in the natural unemployment rate are only temporary.
  E) price changes occur at a natural rate, near a 6 percent average inflation rate.


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olivia_paige29

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Reply #1 on: Jun 29, 2018
Answer to Question 1

A

Answer to Question 2

A


Mr.Thesaxman

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Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)

ryansturges

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Reply 3 on: Yesterday
:D TYSM

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