By internal balance, most economists mean
A) full employment.
B) price stability.
C) full employment and price stability.
D) full employment and moderate increase in prices.
E) full employment and high disposable income.
C
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If the cross price elasticity of demand between two goods is negative, then the two goods are
A) substitutes. B) complements. C) unrelated. D) independent.
The graph above indicates that:
A. I' g is an investment schedule that assumes that the investment plans of business are
independent of the current level of income, whereas I g does not
B. I g is an investment schedule that assumes that the investment plans of business are independent of the current level of income, whereas I'g does not
C. The equilibrium level of investment is determined at the point where investment schedule
I' g crosses the I g investment schedule
D. Investment schedule I' g shows the inverse relationship between real domestic product and investment