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Lapatulllka [165]
4 years ago
8

The economy is in the horizontal portion of the AS curve, investment spending is interest insensitive and there is no liquidity

trap. According to the Keynesian transmission mechanism, if the money supply increases the interest rate will __________, investment spending will __________, the AD curve will __________, and Real GDP will __________.
Business
1 answer:
kaheart [24]4 years ago
3 0

Answer: does not change, does not change, does not change, does not change.

Explanation: Keynesian transmission mechanism traditional state that, changes in money supply affect aggregate demand through changes in interest rate or exchange rate.

If the money supply increases the interest rate will "does not change", investment spending will "not change ", and the AD curve "not change", and the real GDP will "not change".

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Answer:

The statement is: True.

Explanation:

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QUESTION 7 of 10: What aspect of your advertising is it vital to measure?
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3 years ago
Economic growth can be portrayed as:____________. 1. An inward shift of the production possibilities curve. 2. An outward shift
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Answer:

2. An outward shift of the production possibilities curve.

Explanation:

Economic growth can be defined as an increase in the output of goods produced in an economy or increase in what an economy produces using its scarce resources.

Simply put it is an increase in production capacity.

The production possibility curve shows all possible combinations of two products that can be produced with a given level of resources.

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This results in shift of PPP outward as illustrated in the attached diagram.

3 0
3 years ago
During its first year of operations, a company entered into the following transactions: Borrowed $5,000 from the bank by signing
fiasKO [112]

Answer:

The amount of total assets at the end of the year is $15,600

Explanation:

The computation of the total assets is shown below:

= Borrowed amount + issued stock to owners + purchase of supplies - paid to supplies

= $5,000 + $10,000 + $1,000 - $400

= $15,600

We considered all the items which are given in the question. The payment made to supplies should be deducted as it reduced the balance of cash So, the remaining items would be added

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