Question 1
Refer to the information provided in Figure 26.5 below to answer the question(s) that follow.
Refer to Figure 26.5. Which of the following combinations would definitely increase the equilibrium interest rate?
◦ government spending increases and the price level increases
◦ government spending increases and the price level decreases
◦ government spending decreases and the price level increases
◦ government spending decreases and the price level decreases
Question 2
Refer to the information provided in Figure 26.5 below to answer the question(s) that follow.
Refer to Figure 26.5. An increase in the
Z factors shifts the ________ to the ________.
◦ Fed rule; left
◦ Fed rule; right
◦
IS curve; left
◦
IS curve; right
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ODDS AND PROBABILITY PLEASE ANSWER ALL I DONT HAVE ENOUGH CREDITS
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