Multiple Choice
When the price level changes for a given supply of nominal money balances, the supply of real balances changes. This effect is called the
A) wealth effect.
B) constant nominal income effect.
C) substitution of foreign goods effect.
D) investment effect.
Correct Answer:
Verified
Correct Answer:
Verified
Q83: Which of the following is false?<br>A)In long-run
Q84: In the long run, what will happen
Q85: Consumer spending is directly (positively) related to
Q86: Aggregate demand is the sum total of<br>A)consumption
Q87: _ tells us the price a firm
Q88: With regards to the Phillips curve, the
Q89: Gross investment demand by households and firms
Q91: The real wage is<br>A)the nominal wage adjusted
Q92: The American Recovery and Reinvestment Act of
Q93: An increase in personal income tax rates<br>A)decreases