In the recent Global Economic Crisis, the negative wealth effect caused
A) LM curve to shift to the right.
B) LM curve to shift to the left.
C) IS curve to shift to the left.
D) LM curve to shift to the right.
C
You might also like to view...
Economists define the labor force to include
A) people who are working. B) only people who are working full time. C) people who are not working but are actively looking for a job, and people who are working. D) all individuals of working age, regardless of whether they are working or looking for a job.
A local video store estimates its average customer's demand per year is Q = 20 ? 4P, and it knows the marginal cost of each rental is $1.00. How much should the store charge for an annual membership in order to extract the entire consumer surplus via an optimal two-part pricing strategy?
A. $40 B. $64 C. $32 D. $20