Multiple Choice
If the stock market booms,
A) aggregate demand increases, which the Fed could offset by increasing the money supply.
B) aggregate supply increases, which the Fed could offset by increasing the money supply.
C) aggregate demand increases, which the Fed could offset by decreasing the money supply.
D) aggregate supply increases, which the Fed could offset by decreasing the money supply.
Correct Answer:
Verified
Correct Answer:
Verified
Q14: Keynes used the term "animal spirits" to
Q49: In the short run,an increase in the
Q62: Critics of stabilization policy argue that<br>A)there is
Q122: In recent years,the Federal Reserve has conducted
Q130: Which of the following is the most
Q131: Suppose that businesses and consumers get much
Q132: An increase in government purchases is likely
Q135: According to the crowding-out effect,a decrease in
Q136: Keynes argued that<br>A)irrational waves of pessimism would
Q137: Suppose that there are both multiplier and