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If Real GDP is increasing, what does that generally mean for a country?
an increase in the average price level
they loan out people's deposits
cut taxes and increase the money supply
a person's purchasing power decreases
consumer spending is increasing and businessess are expanding
loans become cheaper
It is high but it has been going down recently
The government should increase the amount of money it spends
The Fed just announced that they are adopting an easy-money, what is the most likely result of that policy?
an increase in the average price level
they loan out people's deposits
cut taxes and increase the money supply
a person's purchasing power decreases
consumer spending is increasing and businessess are expanding
loans become cheaper
It is high but it has been going down recently
The government should increase the amount of money it spends
How do banks create money?
an increase in the average price level
they loan out people's deposits
cut taxes and increase the money supply
a person's purchasing power decreases
consumer spending is increasing and businessess are expanding
loans become cheaper
It is high but it has been going down recently
The government should increase the amount of money it spends
What is the inflation?
an increase in the average price level
they loan out people's deposits
cut taxes and increase the money supply
a person's purchasing power decreases
consumer spending is increasing and businessess are expanding
loans become cheaper
It is high but it has been going down recently
The government should increase the amount of money it spends
If economic activity in the country is decreasing, which action would you recommend?
an increase in the average price level
they loan out people's deposits
cut taxes and increase the money supply
a person's purchasing power decreases
consumer spending is increasing and businessess are expanding
loans become cheaper
It is high but it has been going down recently
The government should increase the amount of money it spends
Why is high inflation a problem?
an increase in the average price level
they loan out people's deposits
cut taxes and increase the money supply
a person's purchasing power decreases
consumer spending is increasing and businessess are expanding
loans become cheaper
It is high but it has been going down recently
The government should increase the amount of money it spends
Which statement best describes the current unemployment rate?
an increase in the average price level
they loan out people's deposits
cut taxes and increase the money supply
a person's purchasing power decreases
consumer spending is increasing and businessess are expanding
loans become cheaper
It is high but it has been going down recently
The government should increase the amount of money it spends
Country A: Real GDP is decreasing and unemployment is increasing. Leaders should
an increase in the average price level
they loan out people's deposits
cut taxes and increase the money supply
a person's purchasing power decreases
consumer spending is increasing and businessess are expanding
loans become cheaper
It is high but it has been going down recently
The government should increase the amount of money it spends
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