WorksheetsCâu hỏi trắc nghiệm kinh tế vĩ mô
Total questions: 143
Worksheet time: 1hrs 27mins
Which statement is the most correct?
Macroeconomics is the science that studies the economic relationships of sectors within the economy.
Macroeconomics is the science that studies a unified economic system.
Macroeconomics is the science that studies the economy as a whole, a large system, with total quantities reflecting the activities of an overall economy.
Macroeconomics is the science that studies the markets of individual sectors.
Macroeconomics does NOT answer which of the following questions?
Why is current income higher than income in 1980?
Why do businesses want to hire more labor?
Why do some countries have high inflation rates?
What causes recession and stagnation?
Which of the following is not a research issue of macroeconomics?
The impact of increasing money supply on inflation.
The impact of budget deficits on national savings.
The impact of oil prices on automobile production.
The impact of technology on economic growth.
Macroeconomics is more concerned with:
The revenue of large companies compared to the revenue of small shops.
The relative price of rice compared to the general price level.
The impact of increasing money supply on inflation.
The fluctuations in rice prices.
Which statement does NOT have a normative nature?
The government should reduce the unemployment rate because it causes social instability.
We should reduce the inflation rate because it decreases people's income.
Reducing unemployment benefits will lower the natural unemployment rate.
The state should expand training programs to enhance workers' skills to reduce unemployment.
Which of the following is a research issue of macroeconomics?
Which of the following is a research issue in macroeconomics?
The impact of rice prices compared to the general price level.
The impact of coal demand compared to labor demand in Vietnam.
The impact of oil prices on automobile production.
The impact of technology on economic growth.
Which statement about opportunity cost is correct?
The value of an option that is forgone when not chosen.
The value of the best option that is forgone when not chosen.
The value of all options that are forgone when not chosen.
The value of the chosen option.
Which statement is a normative statement?
A large government budget deficit slows economic growth.
The government needs to reduce the inflation rate because it reduces the real income of citizens.
Reducing the rate of money supply growth will reduce inflation.
The central bank cutting interest rates will encourage firms to increase investment.
Which empirical statement is true?
These are statements with macroeconomic characteristics.
These are statements that can be tested.
These are statements related to value assessment.
These are statements with microeconomic characteristics.
Which expense does not belong to the opportunity cost of your summer trip?
The money you could earn if you worked during the summer.
The money you spent on your plane ticket.
The money spent on daily meals and living expenses.
The money spent on attending a performance at the resort.
Assuming you win 50 million in the game 'Who Wants to Be a Millionaire'. You can choose to spend the money immediately or save it for a year at a bank with an interest rate of 10% per year. What is the opportunity cost of spending 50 million immediately?
50 million
5 million
1
What is the opportunity cost of spending 50 million immediately?
50 million
5 million
10 million
0
Which of the following is not a macroeconomic goal?
Fluctuations in fuel prices
Mixed economy
Stabilizing exchange rates
Fair distribution
The goal of price stability and controlling inflation will NOT be achieved by which adjustment?
Fiscal policy
Monetary policy
Income policy
Rapidly increasing aggregate demand and decreasing aggregate supply
Fiscal policy affects:
Aggregate supply
Prices and output of the economy
Exchange rates
Real income
Income policy affects:
Aggregate supply
Aggregate demand of the economy
Real income
Exchange rates
The change in interest rates that affects the output of the economy is the content of:
Fiscal policy
Monetary policy
Income policy
Foreign economic policy
Which of the following is NOT a macroeconomic goal that countries want to achieve?
Controlling inflation
Creating many jobs and social equity
Promoting economic growth
Increasing price levels to encourage production
Among the following statements, which one is empirical?
Inflation rate needs to be reduced to below 10% per year
Inflation is rising, so the government must reduce its spending
Income levels in Japan are higher than in Vietnam
People should not be encouraged to drink alcohol and high taxes should be imposed on alcohol
Which of the following sentences belongs to macroeconomics?
The unemployment rate in Ho Chi Minh City is lower than the unemployment rate in the country
Which of the following sentences belongs to macroeconomics?
The unemployment rate of Ho Chi Minh City is lower than that of Hanoi
This month, the price of gasoline has increased
Food prices have decreased due to a good harvest
The inflation rate rose sharply in the 80s
In macroeconomic analysis, we are concerned with:
The output of each type of goods.
The total output of the economy
The fluctuations in the price level of each item
The growth of businesses
Which of the following activities is not counted in a country's GDP for the year?
Exporting shrimp.
Importing spare parts for Honda motorcycles.
A tailor buys a new sewing machine.
A new school is completed and put into use.
Final products do not include:
Motorcycles that consumers buy.
Steel that the car factory buys to produce cars.
Bread that a retail store sells to consumers.
A newly built apartment.
GDP calculated by the product flow (expenditure) is the total of:
Household consumption, business investment, government spending on goods and services, net exports.
Consumption, investment, net exports.
Consumption, investment, government transfers.
Consumption, investment, government spending on goods and services, and imports.
The difference between nominal GDP and real GDP is:
Real GDP equals nominal GDP minus depreciation.
Real GDP equals nominal GDP minus net income from assets abroad.
Real GDP is calculated at fixed prices of the base year while nominal GDP is calculated at current year prices.
Real GDP equals nominal GDP minus transfer payments.
According to income (income flow), GDP is the total of:
(a)
What is nominal GDP calculated at current prices?
What is real GDP equal to?
Nominal GDP minus transfer payments
Nominal GDP
Nominal GDP plus transfer payments
Nominal GDP minus taxes
According to income (income flow), GDP is the total of:
Wages, interest, rent, profit, depreciation
Wages, taxes, depreciation, profit
Wages, government subsidies, rent, profit
Wages, government transfers, interest, rent
What is the value added?
The difference between the total output value of a business and depreciation
The difference between total output value and profit
The difference between total output value and direct taxes
The difference between total output value and input value
Intermediate goods are goods that:
Depreciate in value during production
Are fully used in the production of other goods and services
Are counted multiple times in GDP
Are sold to final consumers
Intermediate goods are sold to:
Other businesses for use as intermediate inputs in production
The government
Households
Charitable organizations for distribution to those in need
What is the difference between GDP calculated at market prices and GDP calculated at factor cost?
Net income from assets abroad
Net direct taxes
Net indirect taxes
Subsidies
Which of the following is considered an investment in the national income accounting system?
A travel company buys a new car to transport tourists
Buying shares of Vingroup
Buying an apartment in a building constructed in 2000
Buying bonds when the government issued them in 2018
The profit of Hoang Anh Gia Lai Group generated in Laos is counted in:
GNP of Laos
GDP of Vietnam
GDP of Laos
GNP of Vietnam and GDP of Laos
To determine GNP from GDP, we need to:
Subtract indirect taxes
Add exports
What is included in the GNP of Laos?
GNP of Laos
GDP of Vietnam
GDP of Laos
GNP of Vietnam and GDP of Laos
To determine GNP from GDP, we need to:
Subtract indirect taxes.
Add exports.
Add net income from foreign assets.
Subtract government transfers.
To calculate national income from GNP, we must deduct:
Depreciation.
Depreciation and indirect taxes.
Indirect taxes
Net exports
Which of the following goods is not included in Vietnam's GDP?
Electric kettle produced by Rạng Đông company.
Newly built apartment.
Car produced by Vinfast factory in Vietnam.
An old apartment that has been resold.
If national income remains unchanged, disposable income increases when:
Depreciation increases
Subsidies increase.
Consumption increases.
Indirect taxes increase.
Which of the following activities can increase GDP?
A person fixing a broken bicycle.
A taxi driver taking his child to school.
A housewife hiring a maid by the hour.
A builder constructing a fence for his own house.
Which of the following is not a component of Vietnam's GDP?
Wages paid to construction workers.
Unemployment benefits.
Salaries of those working in non-governmental organizations.
Wages paid to farmers working in poultry farms.
Value added is:
The output value of the enterprise minus direct taxes.
The output value of the enterprise minus exports.
The output value of the enterprise minus the cost of intermediate products.
The output value of the enterprise minus depreciation.
Intermediate goods are not included in GDP because:
They reduce social welfare.
To avoid counting their value multiple times.
Why are intermediate goods not included in GDP?
To exclude goods that reduce social welfare.
To avoid double counting their value to not exaggerate GDP value.
Intermediate goods do not generate profit.
They are stored as inventory.
Input costs that are used up in production are called:
Final goods.
Intermediate goods.
Total production costs.
Revenue.
The net income that the people of a country receive in the form of income from production factors is called:
Gross Domestic Product.
Disposable income.
National income.
Personal income.
If national income remains unchanged, disposable income decreases when:
Direct taxes increase.
Indirect taxes decrease.
Depreciation increases.
Subsidies increase.
Savings are:
The remainder of national income after depreciation.
The remainder of disposable income after direct taxes.
The remainder of disposable income after consumption.
The remainder of personal income after consumption.
Economic growth is an increase in:
Nominal GDP.
Real GDP.
Nominal GNP.
Disposable income.
If calculated by the value-added method, GDP equals:
Total output of goods and services in the economy.
Total output of goods and services minus depreciation.
Total value added of all sectors in the economy.
Total value of goods and services minus indirect taxes.
Total demand for goods and services of a country does not depend on the decisions of:
The government and producers.
Suppliers of goods and services.
Households.
Foreigners.
The service of a country does not depend on the decisions of:
The government and manufacturers.
Suppliers of goods and services.
Households.
Foreigners.
Which variable can change without causing a shift in the aggregate demand curve?
General price level.
Interest rate.
Tax rate.
Expectations about inflation.
Which variable can change without causing a shift in the aggregate supply curve?
Changes in government policies.
Interest rate.
Prices of input factors.
General price level.
In the long run with a vertical aggregate supply curve:
Real national income and price level are determined by aggregate demand.
Real national income and price level are determined by long-run aggregate supply.
Real national income is determined by aggregate demand, while price level is determined by aggregate supply.
Real national income is determined by aggregate supply, while price level is determined by aggregate demand.
On the graph, the horizontal axis represents output and the vertical axis represents the general price level. The aggregate demand curve AD shifts to the right when:
The government increases defense spending.
The general price level rises.
The government increases taxes.
Imports and exports decrease.
On the graph, the horizontal axis represents output and the vertical axis represents the general price level. The aggregate demand curve AD shifts to the left when:
The government increases defense spending.
The general price level rises.
The government increases taxes.
Exports increase.
On the graph, the horizontal axis represents output and the vertical axis represents the general price level. The aggregate supply curve AS shifts to the right when:
The general price level rises.
The government increases taxes.
Production technology undergoes significant changes.
National income changes.
Potential output is the level of output:
What is potential output?
Where if aggregate demand increases, inflation will not rise.
Where the economy has a zero (0) unemployment rate.
The largest output of the economy.
The optimal output of the economy under the condition of optimal use of existing resources.
In the AD - AS model, what can cause the AD curve to shift to the right?
Increase in taxes.
Increase in government spending.
Decrease in nominal money supply.
Decrease in net exports.
When the general price level rises, what will happen to the short-run AS curve?
Shift to the right.
Move upwards.
Remain unchanged.
Shift to the left.
The vertical aggregate supply curve implies that:
Increasing prices will encourage technological innovation and thus promote economic growth.
Increasing prices will not affect the level of economic output.
Increasing prices will allow the economy to achieve a higher level of output.
It is not possible to achieve a short-term output growth rate greater than the long-term growth rate.
Which of the following does not cause the short-run supply curve to shift upwards?
Decrease in labor productivity
Increase in prices
Increase in wages.
Decrease in essential raw material prices.
When the government reduces taxes on imported goods:
The aggregate demand curve shifts to the right.
The aggregate demand curve shifts to the left.
The aggregate supply curve shifts to the right.
The aggregate supply curve shifts to the left.
When the government increases taxes on imported raw materials:
The aggregate demand curve shifts to the left.
The aggregate demand curve shifts to the right.
The aggregate supply curve shifts to the right.
The aggregate supply curve shifts to the left.
Which of the following causes the AD curve to shift left in the AD-AS model?
What causes the AD curve to shift left in the AD-AS model?
Increase in government spending.
Decrease in the general price level.
Decrease in wages.
Pessimism of investors.
In the AD-AS model, a leftward shift of the AD curve can result in:
Increased output and decreased real wages.
Decreased output and increased real wages.
Both output and real wages decrease.
Both output and real wages increase.
In the AD-AS model, a leftward shift of the supply curve can be caused by:
Applying more advanced technology.
Higher input prices.
Increase in the general price level.
Increase in aggregate demand.
When OPEC raises oil prices, what happens?
National income is redistributed from oil-importing countries to oil-exporting countries.
Inflation rates in oil-importing countries increase.
Real GDP of oil-importing countries decreases.
Inflation rates in oil-importing countries increase, GDP of oil-importing countries tends to decrease, and national income is redistributed from oil-importing countries to oil-exporting countries.
Which event will shift the short-run supply curve but not the long-run supply curve?
Change in capital stock.
Change in nominal wages.
Change in technology.
Change in labor supply.
One reason why the aggregate demand curve has a negative slope is:
Firms will increase supply when prices rise.
Consumers become wealthier when prices fall and are therefore willing to buy more goods.
Similar to the reason why the demand curve for a specific good has a negative slope.
People find substitutes when the price of a certain good rises.
One reason that the aggregate supply curve has a positive slope is:
Demand from agents in the economy increases as the price level rises
Businesses will sell more products when prices increase
The profits of businesses increase, encouraging them to produce more
Businesses tend to increase output when prices rise
In the AD-AS model, the rightward shift of the AD curve can be due to the reason:
The average income of the population increases
The general price level decreases
Increasing the money supply
The quantity of goods produced in the economy increases
In the AD-AS model, the increase in prices reduces the real money supply and aggregate demand is represented by:
Movement along the aggregate demand curve downward
Shift of the aggregate demand curve to the right
Shift of the aggregate demand curve to the left
Movement along the aggregate demand curve upward
The short-run aggregate supply curve is constructed based on the assumption:
Fixed price level
Fixed output level
Fixed input factor prices
Fixed profit level
The slope of the short-run aggregate supply curve tends to:
Increase as output increases
Decrease as output increases
Increase, remain unchanged, or decrease as output increases
Remain unchanged as output increases
The development of scientific and technological progress will change:
It will shift both the short-run and long-run aggregate supply curves to the left
The long-run aggregate supply curve to the right while the short-run aggregate supply curve remains unchanged
It will shift both the short-run and long-run aggregate supply curves to the right
What will change?
Will shift both the short-run and long-run aggregate supply to the left
The long-run aggregate supply shifts to the right while the short-run aggregate supply remains unchanged
Will shift both the short-run and long-run aggregate supply to the right
Will shift both the short-run aggregate supply and aggregate demand to the right
The increase in aggregate demand does not affect the price level implies that
The aggregate supply curve is horizontal
The aggregate supply curve is vertical
Output is greater than potential output
The aggregate demand curve is vertical
If the expected income of households increases, while other factors remain unchanged then:
The government will increase taxes
Consumption spending will increase
Consumption spending remains unchanged until income increases
Consumption spending will decrease
Savings are less than when households
Save more than they spend
Consume more than their disposable income
Spend more than they save
Spend less than their disposable income
The marginal propensity to consume is calculated by:
Total consumption divided by total disposable income
Change in consumption divided by savings
Change in consumption divided by change in disposable income
Total consumption divided by change in income
Which is not a function of money?
Medium of exchange
Store of value
Unit of account
Management tool
A person transfers 10 million VND from a savings account to a checking account that can write checks, then:
Both M1 and M2 decrease
M1 decreases while M2 increases
Both M1 and M2 increase
M1 increases while M2 remains unchanged
What is the difference between the money supply M1 and M2?
Cash
Demand deposits at commercial banks
What is the difference between the money supply M1 and M2?
Cash.
Demand deposits at commercial banks.
Time deposits at commercial banks.
Bonds.
Which of the following is not a function of the Central Bank?
Regulating market interest rates.
Monetary business.
Controlling money supply.
Acting as the 'lender of last resort' to commercial banks.
How can a commercial bank 'create money'?
Selling bonds to the government.
Increasing actual reserves.
Lending a portion of the funds raised.
Attracting more deposits.
The central bank has the best control over:
Money supply.
Monetary base.
Money multiplier.
Actual reserves of commercial banks.
Which financing measure for increasing government spending will increase the money supply the most?
The government sells bonds to the public.
The government sells bonds to the central bank.
The government sells bonds to commercial banks.
The government raises taxes.
Which of the following activities of the Central Bank can reduce the money supply?
Selling government bonds, reducing required reserves, and lowering the discount rate.
Buying government bonds, reducing required reserves, and raising the discount rate.
Buying government bonds, reducing required reserves, and lowering the discount rate.
Selling government bonds, increasing required reserves, and raising the discount rate.
The value of the money multiplier decreases when:
Banks lend less and hold more reserves.
The discount rate decreases.
The required reserve ratio decreases.
The central bank buys government bonds.
When the public decides to pay 100% in cash, the money multiplier is:
What is the money multiplier when the public decides to pay 100% in cash?
1
0
10
100
Assuming there is no cash leakage and banks have no excess reserves, what is the value of the money multiplier when the reserve requirement ratio is 8%?
0.08
1
0
12.5
What is the simple money multiplier if commercial banks reserve at a required ratio of 10%?
1
0
10
100
What is the main motive for people to hold money?
Precautionary motive.
Transaction motive.
Speculative motive.
Because of income from interest.
If student Nguyen Van A brings 200 thousand VND to buy a Casio computer, what is this behavior classified as?
Precautionary demand for money.
Speculative demand for money.
Transaction demand for money.
All of the above.
The money demand curve is a curve that:
Has a negative slope.
Has a positive slope.
Is vertical.
Is horizontal.
Which of the following factors changing does not shift the position of the MD curve?
Interest rates increase.
Real output increases.
General price level increases.
Widespread circulation of credit cards.
With other factors unchanged, the demand for money decreases when:
The opportunity cost of holding money is lower.
Interest rates increase.
Interest rates decrease.
Higher price levels.
High economic growth causes the money demand curve to:
Shift up.
Shift down.
Shift left.
Shift right.
The development of the ATM system causes the money demand curve to:
Shift up.
Shift down.
Shift left.
Shift right.
The money demand curve shifts left due to which reason?
Interest rates increase.
Real GDP decreases.
What causes the money demand curve to shift left?
Interest rates increase.
Real GDP decreases.
General price level decreases.
Widespread circulation of credit cards.
What does not cause the money demand curve to shift right?
The economy is growing rapidly.
Households decide to hold more money for travel during holidays.
General price level increases.
The required reserve ratio increases.
The money supply curve is:
Downward sloping.
Upward sloping.
Vertical.
Horizontal.
When the central bank sells government bonds in the open market, it:
Moves up along the money supply curve.
Moves down along the money supply curve.
Shifts the money supply curve to the right.
Shifts the money supply curve to the left.
The money market is in equilibrium when:
Total planned spending equals actual output.
Actual money supply equals actual money demand.
Real GDP does not change.
The exchange rate is fixed.
When the money supply and money demand are represented on a graph with the vertical axis as the interest rate and the horizontal axis as the amount of money, a decrease in income causes:
The money demand curve to shift left and increase interest rates.
The money demand curve to shift left and decrease interest rates.
The money demand curve to shift right and increase interest rates.
The money demand curve to shift right and decrease interest rates.
When the money supply and money demand are represented on a graph with the vertical axis as the interest rate and the horizontal axis as the amount of money, a decrease in the discount rate by the central bank causes:
The money supply curve to shift left and increase interest rates.
The money supply curve to shift left and decrease interest rates.
The money supply curve to shift right and increase interest rates.
What happens to the money supply curve when the discount rate increases?
The money supply curve shifts left and interest rates increase.
The money supply curve shifts left and interest rates decrease.
The money supply curve shifts right and interest rates increase.
The money supply curve shifts right and interest rates decrease.
When the money supply and demand are represented on a graph with the vertical axis as the interest rate and the horizontal axis as the money supply, if households decide to hold more cash for spending, what happens?
The money supply curve shifts left.
The money supply curve shifts right.
The money demand curve shifts left.
The money demand curve shifts right.
When the money supply and demand are represented on a graph with the vertical axis as the interest rate and the horizontal axis as the money supply, what effect will an increase in credit cards have?
Interest rates increase and investment increases.
Interest rates increase and investment decreases.
Interest rates decrease and investment increases.
Interest rates decrease and investment decreases.
In the goods market, what is the initial effect of an increase in the money supply?
It shifts the aggregate demand curve left.
It shifts the aggregate demand curve right.
It shifts the aggregate supply curve left.
It shifts the aggregate supply curve right.
Which analysis best describes how an increase in the money supply shifts the aggregate demand curve?
The money supply curve shifts right, interest rates increase, investment decreases, the aggregate demand curve shifts left.
The money supply curve shifts right, interest rates decrease, investment increases, the aggregate demand curve shifts right.
The money supply curve shifts right, prices increase, spending decreases, the aggregate demand curve shifts left.
The money supply curve shifts right, prices decrease, spending increases, the aggregate demand curve shifts right.
The money demand curve will shift to
The money demand curve will shift to the right if:
Interest rates increase
Interest rates decrease
Income increases
Income decreases
When the government increases spending and increases the money supply, we can expect:
Aggregate demand increases but interest rates remain unchanged
Both interest rates and aggregate demand decrease
Both aggregate demand and interest rates increase
Aggregate demand increases, but interest rates may increase, decrease, or remain unchanged
Assuming the government wants to reduce investment but does not want to change output, what policy should the government use?
Reduce government spending along with an expansionary monetary policy
Reduce taxes along with a tight monetary policy
Subsidize investment along with an expansionary monetary policy
Reduce income tax along with an expansionary fiscal policy
Assuming the economy is located above the left side of the LM curve:
Interest rates will increase due to excess demand for money
Interest rates will decrease due to excess supply of money
Interest rates will increase due to excess supply of money
Interest rates will decrease due to excess demand for money
The impact of an expansionary monetary policy will increase output while simultaneously:
Reducing interest rates and increasing investment
Increasing interest rates and reducing investment
Increasing interest rates and increasing investment
Reducing interest rates and reducing investment
When the central bank sells bonds to the public, it will cause:
The LM curve to shift left
Both the IS and LM curves to shift
The LM curve to shift right
Movement along the LM curve
Which of the following processes describes the effects of an expansionary fiscal policy?
Total spending increases, real GDP increases, money demand increases, interest rates increase causing investment to crowd out
Aggregate demand decreases, real GDP increases
What are the effects of an expansionary fiscal policy?
Total spending increases, real GDP increases, money demand increases, interest rates increase causing a withdrawal of investment
Total demand decreases, real GDP increases
Total spending increases, real GDP increases, money demand increases, interest rates decrease, real GDP continues to expand
Total spending increases, real GDP decreases
When the public decides to shift part of their cash payments to using personal checks, there will be a:
Shift of the LM curve to the left
Movement of both IS and LM curves
Shift of the LM curve to the right
Movement along the LM curve
The final result of the government's policy change is an increase in interest rates and an increase in consumption, but a decrease in investment. This is the result of applying:
Expansionary fiscal policy
Expansionary monetary policy
Tight fiscal policy
Tight monetary policy
If investment is not sensitive to interest rates, then:
The IS curve will be very steep.
The IS curve will be very flat.
The IS curve will be vertical.
The IS curve will be horizontal.
If the demand for money is not sensitive to income, then:
The LM curve will be very steep.
The LM curve will be very flat.
The LM curve will be vertical.
The LM curve will be horizontal.
In the IS-LM model, which combination of fiscal and monetary policy allows for an increase in output while keeping investment unchanged?
Expansionary fiscal policy and contractionary monetary policy.
Contractionary fiscal policy and expansionary monetary policy.
Contractionary fiscal policy and contractionary monetary policy.
Expansionary fiscal policy and expansionary monetary policy.
In the IS-LM model, which combination of fiscal and monetary policy allows for a decrease in investment while keeping output unchanged?
Expansionary fiscal policy and contractionary monetary policy.
Contractionary fiscal policy.
Fiscal and monetary policy allows achieving the goal of reducing investment while keeping output unchanged.
Expansionary fiscal policy and contractionary monetary policy.
Contractionary fiscal policy and expansionary monetary policy.
Contractionary fiscal policy and contractionary monetary policy.
Expansionary fiscal policy and expansionary monetary policy.
Expansionary monetary policy is a policy implemented by the central bank to:
Increase output by reducing taxes or increasing government spending.
Increase output by lowering discount rates, reducing reserve requirements, or buying government bonds.
Increase output by raising discount rates, increasing reserve requirements, or selling government bonds.
Increase output by issuing government bonds.
The LM curve shifts when the following factors change:
Taxes
Money supply
Interest rates
Other factors
If the government increases investment spending on public works, then:
Output and interest rates both increase.
Output increases, interest rates remain unchanged.
Output decreases, interest rates decrease.
Output decreases, interest rates increase.
The significance of establishing the IS curve reflects the impact of:
Interest rates on the equilibrium output level in the money market.
Interest rates on the equilibrium output level in the goods market.
Output on the equilibrium interest rate in the money market.
Output on the equilibrium interest rate in the goods market.
The significance of establishing the LM curve is to reflect the impact of:
Interest rates on the equilibrium output level in the money market.
Interest rates on
