When the policy rate hits its lower bound and inflation keeps falling, this portion of the aggregate demand curve is

In the monetary small open-economy model with a fixed exchange rate, an increase in the domestic price level has which impact on domestic money demand?

A) It increases it. B) It decreases it. C) It has no impact. D) It depends.

Which of the following is true?

a. In low-income countries, less than 5 percent of those 15 and older were illiterate in 2007 b. In middle-income countries, 17 percent of those 15 and older were illiterate in 2007 c. In high-income countries, 38 percent of those 15 and older were illiterate in 2007 d. Education bears little relationship to economic development in high income countries e. Education is more important to the economic development of low income countries than it is to high income countries