A ________ in the real interest rate ________ consumption expenditure and shifts the consumption function ________
A) fall; increases; downward
B) rise; decreases; upward
C) fall; increases; upward
D) fall, decreases; upward
E) rise, increases; downward
C
Economics
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A decrease in government purchases or an increase in taxes, other things being equal, will tend to:
a. increase interest rates and decrease investment as a result. b. increase interest rates and increase investment as a result. c. decrease interest rates and decrease investment as a result. d. decrease interest rates and increase investment as a result.
Economics
If the unemployment rate rises, which policies would be appropriate to reduce it?
a. increase the money supply, increase taxes b. increase the money supply, cut taxes c. decrease the money supply, increase taxes d. decrease the money supply, cut taxes
Economics