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Author Question: Which of the following happens if the real interest rate of an economy rises? A) Labor demand ... (Read 65 times)

mckennatimberlake

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Which of the following happens if the real interest rate of an economy rises?
 
  A) Labor demand increases. B) Labor supply falls.
  C) Investment falls. D) Consumption increases.

Question 2

The idea that a 1 increase in infrastructure spending will generate more than 1 in economic growth is a representation of
 
  A) the multiplier effect. B) an automatic stabilizer.
  C) an outside lag. D) an inside lag.



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Zebsrer

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Answer to Question 1

C

Answer to Question 2

A




mckennatimberlake

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Reply 2 on: Jun 30, 2018
Excellent


vickyvicksss

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

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