Points to the right of the IS schedule indicate that
a. investment plus government spending will exceed saving plus taxes.
b. the amount of money supplied exceeds the amount of money demanded.
c. saving plus taxes will exceed investment plus government spending.
d. the amount of money demanded exceeds the amount of money supplied.
C
Economics
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For a perfectly competitive firm, curve A in the above figure is the firm's
A) total fixed cost curve. B) average fixed cost curve. C) average variable cost curve. D) total revenue curve.
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When federal government expenditures exceed tax receipts, the Treasury must
A) expand the money supply. B) raise taxes. C) reduce spending. D) sell bonds.
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