An upward-sloping short-run aggregate-supply curve is represented by which of the following equations?
a) Quantity of output supplied = Natural level of output + a(Actual price level + Expected price level)
b) Quantity of output supplied = Natural level of output - a(Actual price level - Expected price level)
c) Quantity of output supplied = a(Natural level of output) + (Actual price level - Expected price level)
d) Quantity of output supplied = Natural level of output + a(Actual price level - Expected price level)
Ans: d) Quantity of output supplied = Natural level of output + a(Actual price level - Expected price level)
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If the Fed wishes to decrease the money supply it can:
A. Raise the discount rate. B. Buy bonds on the open market. C. Decrease the required reserve ratio. D. Decrease the federal funds rate.
Colonists supporting the American Revolution (1775–1781)
(a) were well-prepared and well-organized. (b) comprised at least two-thirds of the total colonial population. (c) faced lower transportation and communication costs than the British during the war. (d) were able to tax the colonists to finance the war.