Multiple Choice
Which of the following actions might we logically expect to result from rising stock prices?
A) Jim increases his consumption spending.
B) Firms sell fewer shares of new stock.
C) Firms spend less on investment.
D) People will save less.
Correct Answer:

Verified
Correct Answer:
Verified
Q41: Which of the following shifts aggregate demand
Q67: Stock prices often rise when the Bank
Q113: Suppose that consumers become pessimistic about the
Q114: For the following questions, consult the diagram
Q115: Which of the following is consistent with
Q117: When making a case against active stabilization
Q120: What did Keynes use the term "animal
Q122: Which of the following policies would Keynes's
Q123: Supply-side economists believe that a reduction in
Q127: Which of the following shifts money demand