Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. economics
  3. 30. an increase in household saving causes consump

30. An increase in household saving causes consumption to A. rise and aggregate demand to increase. B....

90.2K

Verified Solution

Question

Economics

30. An increase in household saving causes consumption to

A. rise and aggregate demand to increase.

B. rise and aggregate demand to decrease.

C. fall and aggregate demand to increase.

D. fall and aggregate demand to decrease.

35. Which of the following Fed actions would both decrease themoney supply?

A. buy bonds and raise the reserve requirement

B. buy bonds and lower the reserve requirement

C. sell bonds and raise the reserve requirement

D. sell bonds and lower the reserve requirement

38. Sometimes during wars, government expenditures are largerthan normal. To reduce the effects this spending creates oninterest rates,

A. the Federal Reserve could increase the money supply by buyingbonds.

B. the Federal Reserve could increase the money supply byselling bonds.

C. the Federal Reserve could decrease the money supply by buyingbonds.

D. the Federal Reserve could decrease the money supply byselling bonds.

Answer & Explanation Solved by verified expert
3.9 Ratings (496 Votes)
30An increase in housheold saving causes consumption to Dfall and aggregate demand to decrease When there is an increase in the household savingit simply means that people start to save moreAs a result they have less disposable income in hand which in turn decreases their consumptionAn increase in the household saving causes consumptiom to fall and not riseWhen consumption falls it affects the aggregate demand    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

When gluconeogenesis is activated during fasting in liver, glycolysis slows. How does this happen? a. pyruvate kinase...

Biology
Q

7 Intensity of facilitated diffusion depends on Only on the concerneration of molecules Only on...

Biology
Q

Write a sine function with the given characteristics Amplitude 5 2 Period 3 Phase Shift...

Geometry
Q

16 Type the correct answer in the box Use numerals instead of words The composite...

Geometry
Q

1 733 The 3 in the ones place is the value of the 3 in...

Basic Math
Q

4 Here are two box plots 95 95 100 100 box

Statistics
Q

Tutorial Exercise Find the general solution of the differential equation and check the result by...

Calculus
Q

Find the volume of the region bounded by the coordinate planes the plane x y...

Calculus
Q

ABC Co. owns 35% of XYZ Co. At the beginning of the current year, ABC's...

Accounting
Q

Current Attempt in Progress Your answer is partially correct. Stellar Corporation purchased on January...

Accounting
Q

2. Donated Art works I. are recorded at the fair value at date of donation...

Accounting
Q

[Side note: Please answer question in same format as shown above in solution table so...

Accounting