If the dollar were to increase relative to the currencies of our major trading partners, our trade deficit would tend to ______________.

Changes in inventory investment are ________ for the Fed to use to time changes in monetary policy

A) too short-lived B) short-lived enough C) gradual enough D) too gradual

Under the expectations theory, an upward-sloping yield curve indicates that investors expect future short-term rates to

A) fall. B) rise. C) remain constant. D) either rise or remain constant.