An increase in the nominal interest rate leads to
A) a movement upward along the demand for money curve.
B) a rightward shift in the demand for money curve.
C) neither a shift in nor a movement along the demand for money curve.
D) a movement downward along the demand for money curve.
E) a leftward shift in the demand for money curve.
A
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The basic concern of economics is to:
A) keep business firms from losing money. B) prove that capitalism is better than socialism. C) study the choices people make. D) use unlimited resources to produce goods and services to satisfy limited wants.
In the neoclassical growth model, if two countries are exactly the same but one has a lower depreciation rate, we would expect that country to have
a. higher output, a higher capital-to-labor ratio, and the same per capita output growth in the steady state. b. higher output, a higher capital-to-labor ratio, and higher per capita output growth in the steady state. c. the same output and capital-to-labor ratio, but higher per capita output growth in the steady state. d. higher output, the same capital-to-labor ratio, and the same per capita output growth in the steady state.