The Fed's purchases and sales of government securities are called:
a. margin operations

Using the information in situation 20-2, if government spending increases by $100, then the equilibrium aggregate output will change by

A) -$1,000. B) -$100. C) $100. D) $1,000.

The investment demand curve will shift to the right as a result of:

A. an increase in the excess production capacity available in industry. B. an increase in business taxes. C. technological progress. D. an increase in the acquisition and maintenance cost of capital goods.