Final eco 372

Instead of lending it to her friend, Martha could have put the money in a bank where she could have earned an interest rate of 2 percent per annum. Place restrictions on imports Explanation: In considering the net effect of expansionary fiscal policy on the trade deficit, the Suppose farmers can use their land to grown either wheat or corn.

The depreciation of currency will: According to Keynes, why might deflation create problems for an economy? The Phillips curve shows: According to Keynes, market economies The federal reserve provides which of the following data 6. A country can have a trade deficit as long as it can Suppose the central bank of a country undertakes an expansionary monetary policy.

The laissez-faire policy prescription to eliminate unemployment was to Considering an economy with a current trade deficit and considering only the direct effect on income, an expansionary monetary policy tends to In which of the following situations is a budget surplus most likely to occur?

ECO 372 Final Exam Study Answer Sheet – Part 5

Questions may be in a different order, but they should all be included. If a country wants to prevent its exchange rates from falling, it could: According to the Classical growth model, an economy that increases its saving will grow: Which of the following is the path through which contractionary monetary policy works?

Which of the following types of unemployment is considered to be the most controllable through demand-side macroeconomic policy? As a country develops economically, what changes usually take place in the goods it exports? It will do so by buying and selling: In the short run, a trade deficit allows more consumption, but in the long run, a trade deficit is a problem because Suppose farmers can use their land to grow either wheat or corn.

To calculate the present value, she should use the: Therefore, as the price of a good goes: Between andthe U. To increase the money supply by the Federal Reserve should Which of the following topics is best characterized as a macroeconomic issue? According to Keynes, market economies: Currencies in its official reserves Explanation: All answers and explanations are provided by expert economics tutors.

If a country wants to prevent its exchange rates from falling, it could: Results are auto graded and sent to your instructor.ECO - Principles of Macroeconomics - Final ExamClick here to download answers1. The market where business sell goods and services to households and the gov.

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is obtained from B. wages and salaries 2) The market where business sell goods and services to households and the government is called the A.

goods market 3) Real gross domestic product is best defined as C. the market value of all final goods and services produced in an. ECO Final Exam Answers and Explanations: Part 5.

Use this page to study for the Macroeconomics Final Exam. All answers and explanations are provided by expert economics tutors. ECO/– Principles of Macroeconomics – Final Exam Study Guide 1.

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Final eco 372
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