The primary difference between new Keynesian economics and traditional Keynesian economics is that the former is more realistic about international trade, whereas the latter stresses the importance of inward oriented strategies

Refer to Figure 18.4. With a tariff or quota, what is the equilibrium quantity of gloves in Duckland?

A) 100 B) 80 C) 60 D) 40

Refer to Figure 10.4. Suppose the economy's equilibrium starts out with an output gap of 1, and real GDP increases so the output gap increases to 2

If the Fed keeps the money supply constant, money demand will ________ and the nominal interest rate will ________. A) increase; increase B) increase; decrease C) increase; remain constant D) remain constant; remain constant