Suppose that Jones builds a new house, then she sells it to Smith, and then Smith sells it to Williams. The total net investment from these transactions is:

If the Federal Reserve lowers the Federal funds rate,

A) the price level falls. B) net exports decrease. C) other short-term interest rates rise. D) other short-term interest rates fall. E) Both answers A and C are correct.

The supply of loanable funds is the relationship between loanable funds and ________ other things remaining the same

A) real GDP B) the price level C) the real interest rate D) the inflation rate