« previous next »

Author Question: The argument that an increase in aggregate demand, as a result of an increase in government ... (Read 96 times)

s.tung

  • Hero Member
  • *****
  • Posts: 577
on: Jun 30, 2018
The argument that an increase in aggregate demand, as a result of an increase in government purchases, will be offset by increases in savings (less current consumer spending) for future taxes is called:
 a. the crowding out effect
 b. the Ricardian equivalence theorem
  c. the budget deficit effect
 d. the budget surplus effect

Question 2

If the money supply is 80 billion, the velocity of money is 5, and real GDP is 320 billion, then the price level equals:
 a. 51.20.
  b. 20.
  c. 4.
  d. 2.75.
  e. 1.25.


raenoj

  • Sr. Member
  • ****
  • Posts: 340
Reply #1 on: Jun 30, 2018
Answer to Question 1

b

Answer to Question 2

e


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

s.tung

  • Hero Member
  • *****
  • Posts: 577
Reply #2 on: Jun 30, 2018
Correct answers!


raenoj

  • Sr. Member
  • ****
  • Posts: 340
Reply #3 on: Jun 30, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

More than 20 million Americans cite use of marijuana within the past 30 days, according to the National Survey on Drug Use and Health (NSDUH). More than 8 million admit to using it almost every day.

Did you know?

About 3.2 billion people, nearly half the world population, are at risk for malaria. In 2015, there are about 214 million malaria cases and an estimated 438,000 malaria deaths.

Did you know?

To combat osteoporosis, changes in lifestyle and diet are recommended. At-risk patients should include 1,200 to 1,500 mg of calcium daily either via dietary means or with supplements.

Did you know?

Pink eye is a term that refers to conjunctivitis, which is inflammation of the thin, clear membrane (conjunctiva) over the white part of the eye (sclera). It may be triggered by a virus, bacteria, or foreign body in the eye. Antibiotic eye drops alleviate bacterial conjunctivitis, and antihistamine allergy pills or eye drops help control allergic conjunctivitis symptoms.

Did you know?

Women are two-thirds more likely than men to develop irritable bowel syndrome. This may be attributable to hormonal changes related to their menstrual cycles.

The light produced by fireflies is the result of a reaction The light produced by fireflies is the result of a reaction
The same star field photographed with (a) a ground-based telescope, which is subject to poor seeing The same star field photographed with (a) a ground-based telescope, which is subject to poor seeing
How to read gel electrophoresis result How to read gel electrophoresis result
Increase in Surface Area by Mechanical Weathering Increase in Surface Area by Mechanical Weathering
Pulmonary Congestion, which May Result from Congestive Heart Failure Pulmonary Congestion, which May Result from Congestive Heart Failure
A melting profile shows the increase in UV absorption versus temperature A melting profile shows the increase in UV absorption versus temperature
Video: Hormonal regulation of pregnancy - weeks 17 through 38

For a complete list of videos, visit our video library