Paper currency is a

Large countries can improve their welfare by levying a tariff only if it does not

A) encourage rent seeking elsewhere in the economy. B) discourage innovation. C) lead to retaliation by the nation's trading partners. D) All of the above. E) None of the above.

In the IS-LM Model, assuming downward sloping IS curve and upward sloping LM curve; increase in consumers' wealth is going to

A) cause a movement along the IS curve. B) cause a rightward shift of the IS curve. C) cause a leftward shift of the LM curve. D) cause a rightward shift of the LM curve.