If the government purchases multiplier equals 2, and real GDP is $14 trillion with potential real GDP $14.5 trillion, then government purchases would need to increase by ________ to restore the economy to potential real GDP

Lydia enjoys going to the theater to see Broadway musicals. The following demand schedule shows Lydia's willingness to pay for theater tickets in a year. Ticket Price Number of Tickets $90 1 $80 2 $70 3 $60 4 $50 5 $40 6 If the price of tickets to Broadway musicals equals $50, Lydia's consumer surplus will be:

a. $350. b. $300. c. $250. d. $100.

When the Chairman of the Board of Governors explains in a television interview that the Fed hopes banks show more restraint in providing consumer credit because inflation is a problem, he is attempting to use

a. indirect theory instead of direct policy b. reason over passion in money matters c. selective media information d. moral suasion e. the paradox of thrift