Multiple Choice
Which of the following is not a true statement?
A) The higher the income level, the lower interest rates must be for goods market equilibrium.
B) The higher the income level, the higher interest rates must be for money market equilibrium.
C) The higher the income level, the lower the interest rate must be for external balance to be achieved.
D) Equilibrium occurs at the intersection of the IS, LM, and BP curves.
Correct Answer:

Verified
Correct Answer:
Verified
Q14: Which of the following would cause the
Q15: The LM curve will shift to the
Q16: Which of the following would not cause
Q17: Many economists argue that the sharp reduction
Q18: Which of the following would cause the
Q20: Illustrate with a graph the effects of
Q21: The stimulation of a large economy aimed
Q22: As interest rates rise,other things equal,<br>A)investment decreases.<br>B)money
Q23: This refers to an increase in government
Q24: If the United States follows an expansionary