The CPI was 225 in 2008 and 232.2 in 2009. The nominal interest rate during this period was 1.4 percent. What was the real interest rate during this period?

The marginal propensity to import is larger in Mexico than in the United States. As a result,

A) there is less autonomous investment in Mexico. B) the expenditure multiplier is larger in Mexico. C) the expenditure multiplier is larger in the United States. D) induced expenditure is larger in Mexico. E) there is more autonomous expenditure in Mexico.

The term for the Fed's day-to-day technique for controlling the stock of money is called

A) discounting operations. B) interest-rate operations. C) liquidity operations. D) open heart operations. E) none of the above.