The annual colonial trade deficit (which equaled 20,000-40,000 pounds sterling in 1768-1772) was mostly financed by:

a. an outflow of specie.
b. paper money.
c. short-term credit from England.
d. payments made by a few very wealthy colonists.

c. short-term credit from England.

Economics

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If the government spending multiplier is 7, the tax multiplier must be

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A positive supply shock causes ________ to ________

A) aggregate demand; increase B) aggregate demand; decrease C) short-run aggregate supply; decrease D) short-run aggregate supply; increase

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