In Watermala, the marginal propensity to consume is 0.6, base consumption is $1,000 . the tax rate is 30 percent of income, national income is $5,000 . investment spending is $800, government spending is $1,500, export earning is $1,000 . and import spending is $500 . Given this information, Watermala's aggregate expenditure equals _____

Some states have laws that require that used car dealers give buyers a 30-day period during which they can return cars that are discovered to be lemons (low-quality). Who do laws like this help? Who do they hurt?

What will be an ideal response?

According to the misperceptions theory, after an unanticipated increase in the money supply has occurred, the SRAS curve must shift ________ to restore general equilibrium; as it does so, the price level ________.

A. downward; falls B. upward; rises C. upward; falls D. downward; rises