Assume that an economy's spending multiplier is 4. If this economy is in equilibrium at $2,000 billion, then which one of the following actions will bring it to a full-employment equilibrium of $1,500 billion?

If a firm wants to buy a piece of capital equipment, is this firm a demander or supplier in the financial market?

What will be an ideal response?

Recent U.S. budget deficits have arguably been financed by foreigners; if it were not for foreign __________ of Treasury securities, U.S. interest rate would be much __________

A) sales; higher B) sales; lower C) purchases; higher D) purchases; lower