This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Assume that the government decides to use fiscal or monetary policy to stimulate the economy and ... (Read 47 times)

Capo

  • Hero Member
  • *****
  • Posts: 545
on: Jun 30, 2018
Assume that the government decides to use fiscal or monetary policy to stimulate the economy and that this action comes as a surprise to most individuals and businesses. In the short run, the result will be
 
  A) an increase in aggregate demand and a fall in the price level.
  B) a decrease in aggregated demand and a rise in the price level.
  C) a decrease in the average duration of unemployment and a decrease in the unemployment rate.
  D) an increase in the average duration of unemployment and an increase in the unemployment rate.

Question 2

A person keeps 500 in his home in order to be prepared for some unforeseen future event. This reflects his
 
  A) speculative demand for money. B) asset demand for money.
  C) liquidity demand for money. D) precautionary demand for money.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Chou

  • Sr. Member
  • ****
  • Posts: 335
Reply #1 on: Jun 30, 2018
Answer to Question 1

C

Answer to Question 2

D


Capo

  • Member
  • Posts: 545
Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

softEldritch

  • Member
  • Posts: 334
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

Today, nearly 8 out of 10 pregnant women living with HIV (about 1.1 million), receive antiretrovirals.

Did you know?

Although not all of the following muscle groups are commonly used, intramuscular injections may be given into the abdominals, biceps, calves, deltoids, gluteals, laterals, pectorals, quadriceps, trapezoids, and triceps.

Did you know?

Asthma cases in Americans are about 75% higher today than they were in 1980.

Did you know?

Asthma occurs in one in 11 children and in one in 12 adults. African Americans and Latinos have a higher risk for developing asthma than other groups.

Did you know?

The use of salicylates dates back 2,500 years to Hippocrates's recommendation of willow bark (from which a salicylate is derived) as an aid to the pains of childbirth. However, overdosage of salicylates can harm body fluids, electrolytes, the CNS, the GI tract, the ears, the lungs, the blood, the liver, and the kidneys and cause coma or death.

This chart illustrates the four quadrants in which we can place the relationships between the state This chart illustrates the four quadrants in which we can place the relationships between the state
Major trunk lines carrying long-distance traffic crisscrossed the area east of the Mississippi. The Major trunk lines carrying long-distance traffic crisscrossed the area east of the Mississippi. The
A passenger train crosses Stony Creek Bridge in the Rocky Mountains in 1878. Railroads were importan A passenger train crosses Stony Creek Bridge in the Rocky Mountains in 1878. Railroads were importan
Booker T. Washington in his office at Tuskegee Institute, 1900. Washington chose a policy of accommo Booker T. Washington in his office at Tuskegee Institute, 1900. Washington chose a policy of accommo
Scientific monitoring with environmental policy (SOER) Scientific monitoring with environmental policy (SOER)
Government By the People, 2016 Presidential Election, 26th Edition Government By the People, 2016 Presidential Election, 26th Edition
Video: Lactation and Breast Feeding

For a complete list of videos, visit our video library