The IS curve will shift to the right if:

a. the government deficit decreases.
b. consumer confidence decreases.
c. the MPC decreases.
d. taxes decrease.
e. the money supply increases.

D

Economics

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If a Japanese company sells 200 VCRs to a French company and uses the money to buy U.S. government bonds, the Japanese merchandise trade balance ________, and the Japanese financial account balance ________

A) rises; rises B) rises; falls C) falls; falls D) falls; rises

Economics

If a bank receives $1,000 in currency as a new deposit, its ability to make loans increases by $1,000

a. True b. False Indicate whether the statement is true or false

Economics