If the economy is currently in equilibrium at a level of GDP that is below potential GDP, which of the following would move the economy back to potential GDP?

A) an increase in the value of the dollar relative to other currencies
B) a decrease in business confidence
C) an increase in wealth
D) an increase in interest rates

C

Economics

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Why do the sellers of some whiskeys pay for advertisements to tell people their whiskey is extremely expensive?

A) Because the sellers either do not know or do not accept the law of demand B) To allocate the product to people who will most appreciate it C) To increase the demand D) To lower the demand and keep production costs low E) To prevent "price shock" among potential customers

Economics

With rent controls, which of the following is most likely to occur?

A) decreased search activity B) black market activity C) a building boom D) a housing surplus

Economics