- Created by: amit
- Created on: 21-04-15 21:22
1. The money demand curve will shift to the left if
- real income increases.
- the price level decreases.
- the nominal interest rate decreases.
- the nominal interest rate increases
- price level increases
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Other questions in this quiz
2. Cyclical unemployment is:
- the additional unemployment not captured in official statistics resulting from discouraged workers and the involuntary part-time workers.
- long-term and chronic unemployment that exists even when the economy is producing at a normal rate.
- the extra unemployment that occurs during periods of recession
- short-term unemployment that is associated with the process of matching workers with jobs.
- the unemployment that results when people retire or leave the labour force
3. A situation of negative inflation is called:
4. In the equation Md = kY - hi, where Md is money demand, the parameter k captures _____
- the money supply
- the effects of inflation
- the speculative demand for money
- the transactions demand for money
- the total demand for money
5. If a certain automotive part can be purchased in Poland for 32 zloty or in Germany for €5.25 and if the nominal exchange rate is 8 zloty per euro, then the automotive part:
- costs more in Poland
- is more expensive in Poland.
- costs the same in Poland and Germany
- is more expensive in Germany
- is less expensive in Germany