If there are strong expectations of future economic growth, then the:
a. economy will move to the right along the existing consumption function.
b. economy will move to the left along the existing consumption function.
c. consumption function will shift downward.
d. consumption function will shift upward.
e. investment demand curve will shift upward.
e
Economics
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What is the difference between real and nominal GDP and why do economists make this distinction?
What will be an ideal response?
Economics
If net exports are equal to net foreign investment, which of the following is not true?
A) The balance on the financial account is zero. B) The current account balance is equal to the negative of the financial account balance. C) Net capital inflows are equal to imports minus exports. D) The balance of payments is zero.
Economics