The marginal propensity to consume is the ratio of a change in consumption to a change in income

In the United States, corporate profits are taxed

A) at both the corporate level and when investors receive dividends. B) only when investors receive dividends. C) only at the corporate level. D) neither at the corporate level nor when investors receive dividends.

Which of the following is true?

a. Monetary policy influences long-term real interest rates more than short-term interest rates. b. Short-term interest rates are primarily determined by real factors and the expected inflation. c. A shift to a more expansionary monetary policy will tend to reduce short-term interest rates. d. A shift to a more expansionary monetary policy will tend to reduce the expected rate of inflation in the future.