It is often found that there is a sufficient mobility within the income distribution such that a person in the lowest quintile of income can move to the higher ones and vice versa

If the Federal Reserve lowers the Federal funds rate,

A) the price level falls. B) net exports decrease. C) other short-term interest rates rise. D) other short-term interest rates fall. E) Both answers A and C are correct.

See the information in Scenario 4.4. From this demand curve, one can infer that:

A) Rock and Roll Trivia is an inferior good. B) computers and diskettes are substitutes. C) computers and diskettes are complements. D) computers are a normal good. E) A, B and D are true.