Author Question: A decrease in the money supply will tend to reduce investment. Indicate whether the statement is ... (Read 94 times)

cdr_15 · **on:** Jun 29, 2018

A decrease in the money supply will tend to reduce investment.

Indicate whether the statement is true or false

Question 2

Classical growth theory predicts that increases in real GDP per person will

A) last because people make choices in the pursuit of higher profits.
B) not last because higher income encourages smaller families and a lower population growth rate.
C) not last because higher income leads to a population explosion.
D) last because higher growth leads to new technology.
E) last only if the government directs firms to make more investments in capital and new technology.