A decrease in government spending shifts the IS curve ____

Macro IS LM

Quiz
•
Financial Education
•
University
•
Easy
Geraldyn Borbe
Used 2+ times
FREE Resource
20 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Neither left nor downward
To the left
To the right
Either right or upward
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
In the short run, a monetary expansion leads to ____.
A decrease in output
No effect on output
Either increase or decrease in output
An increase in output
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
If M/P is unchanged, it must be that ____.
M and P increased in the same proportion
The increase in P < done the increase in M
M is equal to P
The increase in M > than the increase in P
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which of the following shifts the LM curve?
T
M
P
G
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
It reflects all combinations of i and Y where the goods market is in equilibrium
Aggregate supply relation
Aggregate demand relation
IS relation
LM relation
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Given the central banks sale of bonds, which of the following would be a result of the simultaneous equilibrium in the economy?
Upward shift of the IS curve
Increase in interest rate
Downward shift of the LM curve
Increase in output
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Given an increase in taxes, which of the following would be a result of the simultaneous equilibrium in the economy?
Increase in output
Increase in interest rate
Downward shift of the IS curve
Downward shift of the LM curve
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