Exam 9: A : an Introduction to Basic Macroeconomic Markets

If a person earns an 8 percent nominal rate of interest on his savings account in a year when inflation is 9 percent, the person's real rate of interest is

The resource market involves transactions dealing with

As the dollar appreciates, which of the following is most likely to occur?

Controlling the money supply to achieve desired macroeconomic goals is called

Which of the following will be true when the foreign exchange market is in equilibrium and exports exceed imports?

When the exchange rate is determined by market forces and an economy is experiencing a net inflow of capital, the economy will tend to

Which of the following is not included in aggregate demand?

The short-run aggregate supply curve shows the relationship between

The aggregate supply curve indicates the

In the AD/AS model, the aggregate demand for goods and services is composed of the purchases made by

Use the figure below to answer the following question(s). Figure 9-2 -The economy depicted in Figure 9-2 is experiencing

Figure 9-1 -In Figure 9-1, which of the following correctly labels the curves in the aggregate demand/aggregate supply model?

The potential output of an economy is the level of output produced when the

Other things constant, a decrease in resource prices will lead to

Other things constant, a decrease in aggregate demand will lead to

If for some reason Americans wished to purchase more foreign assets, then other things the same

If the dollar price of the English pound goes from $1.80 to $1.40, the dollar has

If the real interest rate in the domestic loanable funds market increases,

If the dollar appreciates relative to the Yen, it can be said that

Suppose the annual rate of inflation has been 3 percent during each of the last three years and that borrowers and lenders have come to expect this rate of inflation. If the inflation rate unexpectedly rises,