The recession of 2007-2009 made many consumers pessimistic about their future incomes. How does this increased pessimism affect the aggregate demand curve?
A) This will shift the aggregate demand curve to the left.
B) This will move the economy up along a stationary aggregate demand curve.
C) This will shift the aggregate demand curve to the right.
D) This will move the economy down along a stationary aggregate demand curve.
A
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The classic loser from an unanticipated inflation is
A) the borrower who pays less nominal interest than expected. B) the borrower who pays more nominal interest than expected. C) the saver who earns less real interest than expected. D) the saver who earns more real interest than expected, and so should have saved more.
In a study of college yearbook photos, researchers found that:
a. An inauthentic smile by males meant they would be unhappy in life b. Women with the Pan Am (fake) smile were just as happy in life as women with the Duchene (genuine) smile c. Smiling type makes no difference d. A genuinely smiling woman (with the Duchene smile) is more likely to be married, stay married, and to experience more personal well-being than a woman with the fake smile.