The long-run effect of an increase in the money supply when starting from full employment is to
A) increase real GDP only.
B) increase the price level only.
C) increase both real GDP and the price level.
D) increase real GDP as the price level increases too.
B
Economics
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The funds used to purchase capital goods are called
A) investment. B) savings. C) financial capital. D) dividends and interest.
Economics
A rise in the price level prompts an increase in the demand for credit. This is relevant to the __________ effect
A) international trade B) real balance C) aggregate demand D) interest rate E) b and c
Economics