If the Fed lowers the federal funds rate, eventually the
A) AS curve shifts rightward, decreasing real GDP and raising the price level.
B) AS curve shifts leftward, decreasing real GDP and raising the price level.
C) AD curve shifts leftward, decreasing real GDP and raising the price level.
D) AD curve shifts leftward, decreasing real GDP and lowering the price level.
E) AD curve shifts rightward, increasing real GDP and raising the price level.
E
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As a result of an increase in the enforcement of illegal immigration laws, the demand for labor will ________, the supply of labor will ________, and the real wage will ________
A) remain the same; decrease; increase B) decrease; increase; remain the same C) increase; decrease; remain the same D) remain the same; increase; decrease
In which of the following situations is the principal-agent problem least likely to occur?
a. a hospital stay b. a doctor's visit c. a bartender serves you at the bar d. your TV is repaired e. a stockbroker calls with financial advice