Exam 9: A : an Introduction to Basic Macroeconomic Markets

In the context of aggregate supply, the long run is defined as the period during which

Which of the following would generate a dollar demand for the euro?

If there is a shortage of loanable funds, then

Arnold puts money into an account. One year later he sees that he has 5 percent more dollars and that his money will buy 6 percent more goods.

When the actual rate of unemployment is less than the natural rate of unemployment, the economy

The actions of borrowers and lenders are coordinated by

The nominal (money) rate of interest

A trade surplus is when

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

Which of the following explains why higher prices in the goods and services market will lead to an upward sloping short-run aggregate supply curve?

If the dollar price of the English pound goes from $1.50 to $2.00, the dollar has

A depreciation of a nation's currency would cause

When prices in the goods and services market are below the level anticipated,

If the dollar price of the English pound goes from $1.75 to $1.50, the dollar has

If equilibrium is present in the foreign exchange market and a nation is experiencing a trade surplus,

A positive level of net exports contributes directly to

The change in the quantity of goods and services demanded in the U.S. is based on the logic that as the price level rises,

If expected inflation is constant, then when the nominal interest rate falls, the real interest rate

If there is a surplus of loanable funds

Your grandmother gives you a $100 savings bond that will mature in fifteen years. The bank tells you that they will buy it from you today at a price of $24. If interest rates rise in the near future, the value of your bond