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2007-11-17

求助!!!

  1. The severity of the crowding-out effect will be reduced if:

A.    the central bank increases the money supply at the same time as the government increase government spending.

B.     the central bank decreases the money supply at the same time as the government increase government spending.

C.     the central bank does not change the money supply when the government increases government spending.

D.    business firms become pessimistic about the future.

2.According to Keynes, the level of employment is determined by:  

A.    technological progress.

B.     interest rates.

C.     prices and wages.

D.    the level of aggregate demand for goods and services.

3.    Suppose the economy is initially operating at the potential level of output. Graphically illustrate and explain what effect a one-time permanent reduction in the money supply will have on output and the price level  in the long run.

多谢了!!! 

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