Which of the following is an effect of an increase in the price level in an economy?
a. The real value of dollar-denominated assets will fall
b. The aggregate expenditure line will shift upward.
c. The equilibrium real gross domestic product will increase.
d. There will be a downward movement along the aggregate demand curve of the economy.
e. The aggregate demand curve of the economy will shift rightward.
a
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Suppose that research shows that by buying stocks issued by companies whose names begin with the letter G investors can earn above-normal returns in even-numbered years. From the perspective of the efficient markets hypothesis,
A) this is further evidence that the hypothesis is correct. B) this would be considered a pricing anomaly. C) investors must have insider information on these companies. D) purchasers of these stocks must have been noise traders.
A temporary tax cut will explicitly last for at least 10 years before it is repealed
a. True b. False Indicate whether the statement is true or false