In the short-run macro model, a decrease in the money supply will
a. lower the interest rate, increase spending, and increase GDP
b. lower the interest rate, reduce spending, and lower GDP
c. raise the interest rate, increase spending, and increase GDP
d. raise the interest rate, reduce spending, and lower GDP
e. raise the interest rate, reduce spending, and increase GDP
D
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A market is perfectly competitive if
A) each firm in it can influence the price of its product. B) there are many firms in it, each selling a slightly different product. C) there are many firms in it, each selling an identical product. D) there are few firms in the market.
The period of growth in real GDP between the trough of the business cycle and the next peak is called the:
a. recessionary phase. b. recovery phase. c. contractionary phase. d. cyclical phase.