How does a fall in the money wage rate affect the aggregate supply curve?
What will be an ideal response?
A fall in the money wage rate lowers firms' costs and shifts the aggregate supply curve rightward.
Economics
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If the Fed is concerned about a possible recession, it ________ the federal funds rate, which ________ the quantity of money and ________ the amount of bank loans
A) raises; decreases; decreases B) lowers; decreases; decreases C) lowers; increases; decreases D) raises; increases; increases E) lowers; increases; increases
Economics
A decrease in net wealth will _____
a. shift the consumption function downward b. make the consumption function steeper c. cause an upward movement along the consumption function d. cause a downward movement along the consumption function e. make the consumption function flatter
Economics