Lower interest rates:
a) decrease consumption and investment spending.
b) increase consumption and decrease investment spending.
c) decrease consumption and increase investment spending.
d) increase consumption and investment spending.
Ans: d) increase consumption and investment spending.
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Which of the following occurrences would NOT shift the demand curve for U.S. dollars in the foreign exchange market?
A) an increase in the U.S. exchange rate B) an increase in the expected future U.S. exchange rate C) an increase in U.S. interest rates D) an increase in foreign interest rates
Advertising that has the fine print "professional driver on a closed course,"
A) is likely engaged in persuasive advertising. B) is likely engaged in informative advertising. C) is likely engaged in strategic advertising. D) is likely engaged in false advertising.