Suppose the money supply tripled, but at the same time velocity doubled and real GDP was unchanged. According to the quantity equation the price level
a. is 1.5 times its old value.
b. is 3 times its old value.
c. is 6 times its old value.
d. is the same as its old value.
c
Economics
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Assume there is a simultaneous decrease in the incomes of people in the market for new homes and a decrease in the wages paid to carpenters, plumbers, and electricians
All else constant, we can predict, with certainty, that in the market for new homes the equilibrium: A) quantity of new homes will decrease. B) quantity of new homes will increase. C) price of new homes will decrease. D) price of new homes will increase.
Economics
Which of the following has also been called the command and control approach?
A. Direct controls B. Voluntary compliance C. Tradable emissions permits D. Taxes on pollution
Economics