According to Keynes, the adoption of an expansionary fiscal policy will cause:
a. both equilibrium price level and equilibrium output to rise
b. equilibrium price level to rise and equilibrium output to fall.
c. equilibrium price level to fall and equilibrium output to rise.
d. both equilibrium price level and equilibrium output to fall.
e. equilibrium price level to remain the same and equilibrium output to fall.
a
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The basic concern of economics is to:
A) keep business firms from losing money. B) prove that capitalism is better than socialism. C) study the choices people make. D) use unlimited resources to produce goods and services to satisfy limited wants.
Assume a candidate for president makes the argument that the United States should not trade with countries that have lower wages than we do because by doing so it will result in an export of American jobs abroad. Critically evaluate this claim
What will be an ideal response?