Ivy Software Mba Prepworks Fundamentals Of Economics |286 Questions| With Correct Answers.

The location of the long run aggregate supply curve depends on the economy's supply of land, capital, labor, entrepreneurial ability, and productivity of its scarce resources. The location of the long run aggregate supply curve does not depend on the price level. (T/F) {Ans: True.}the measure of the economic value of all final goods and services sold inside the boundaries of the country, adjusted for changes in the price level is called {Ans: Real GDP}The M1 definition of the money supply includes currency, traveler's checks, savings deposits, demand deposits, and other checkable deposits. (True or False) {Ans: False. Not Savings deposits- those are in M2}an increase in the discount rate____________ the quantity of reserves in the banking system which in turn ______________ the money supply {Ans: reduces/reduces}desired reserve deposit ration equals {Ans: bank reserves divided by checkable deposits}increasing opportunity cost {Ans: as more and more of an economy's factors of production are employed in the production of a good, the economy must sacrifice the production of other goods at an increasing rate.}