You have two bonds, both with a face value of $7,000 . One of them matures one year from today, while the other matures one year after that. If the interest rate is 8 percent (0.08) per year, what is the difference in value between the two bonds?

Suppose the actual and expected price levels in an economy are initially equal. However, the actual price level becomes higher due to some change in economic conditions. Which of the following will occur eventually?

a. The economy will move rightward along the short-run aggregate supply curve. b. The economy will move leftward along the short-run aggregate supply curve. c. The short-run aggregate supply curve will shift to the right. d. The short-run aggregate supply curve will shift to the left. e. The short-run aggregate supply curve will become flatter.

A nation can accelerate economic growth by increasing its production of consumer goods

a. True b. False Indicate whether the statement is true or false