Writing in the Wall Street Journal in 2009, economist Jeremy Siegel argued that, in the years leading up to the financial crisis of 2008–2009,
a. financial firms acted in too risky a fashion.
b. the Federal Reserves's efforts to rein in the risky behavior of certain financial firms were inadequate.
c. falling house prices "crashed the banks and the economy.".
d. All of the above are correct.
d
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Suppose the economy has a recessionary gap. If supply-side effects are very strong in relation to the demand-side effects,
A) the impact of tax cuts will be strengthened because the increase in disposable income induces consumption, which in turn encourages firms to expand production, thereby shifting the short- run aggregate supply curve to the right. B) the impact of tax cuts will be strengthened because in addition increasing aggregate demand, long-run and short-run aggregate supply will also increase. C) the impact of increased transfer payments to help re-tool the unemployed with new skills will be strengthened, thereby shifting the aggregate demand curve further to the right. D) the impact of increased transfer payments to help re-tool the unemployed with new skills will be strengthened, thereby shifting the short-run aggregate supply curve to the right.
In 2001, a U.S. court of appeals tossed out an earlier U.S. district court order that Microsoft:
A. license Windows for sale by competitors. B. be split into two competing firms. C. divest itself of its Word and PowerPoint software programs. D. end its proposed acquisition of Sun Microsystems.