Stock prices in Richland declined suddenly after one of the largest banks in Richland faced bankruptcy. If animal spirits play an important role in shaping Richland's economy, which of the following is likely to happen assuming all else equal?
A) Equilibrium unemployment in Richland will fall.
B) Equilibrium wage levels in Richland will fall.
C) Investment by firms in Richland will increase.
D) Richland's consumption expenditure will increase.
B
Economics
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In 2009, which of the following countries had the lowest average unemployment rates?
a. Canada b. France c. Italy d. Germany e. United States
Economics
Linda earned an income of $3,000 per month, which has now increased to $3,500 per month. She saves 10 percent and spends the remainder on food, lodging and other expenses. So far, she has managed to save $20,000. What is her marginal propensity to save (MPS)?
What will be an ideal response?
Economics