Suppose you lend $5,000 to your brother for one year at a nominal interest rate of 7%. Inflation during that year is 4%. As a result, you will receive ________ at the end of the year

In the IS-LM model, if interest rates fall while output falls the

a. money supply must have fallen. b. price level must have fallen. c. money supply must have risen. d. level of government spending must have risen. e. none of the above.

When a tax is imposed on a good, the actual incidence of the tax generally

a. falls entirely on the buyer. b. falls entirely on the seller. c. is shared between the buyer and seller. d. is the same as the statutory incidence.