In the first half of 2008, food and energy costs in the United States increased. At the same time, the financial crisis slowed production as firms predicted lower profits. A ________ macroeconomist would support the use of ________
A) classical; taxes to push the economy back to full employment
B) Keynesian; fiscal or monetary policy to stimulate aggregate demand
C) classical; monetary policy to stimulate aggregate demand
D) Keynesian; technology to push the economy back to full employment
B
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If the market rate of interest is 8% per year, what is the present value of an amount of $10,000 to be received after: a) five years. b) ten years
What will be an ideal response?
If the dollar price of the English pound increases from $1.50 to $1.75, the dollar has
a. appreciated relative to the pound, and English goods have become less expensive to U.S. consumers. b. depreciated relative to the pound, and English goods have become less expensive to U.S. consumers. c. appreciated relative to the pound, and English goods have become more expensive to U.S. consumers. d. depreciated relative to the pound, and English goods have become more expensive to U.S. consumers.