We argued that cash flow CF increased during the Great Recession and thus had a

We argued that cash flow cf increased during the

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38.We argued that cash flow (CF) increased during the Great Recession and thus, had a positive effect on investment.A) TrueB) FalseTable for Individual Question FeedbackPoints Earned:1.0/1.0Correct Answer(s):False39.In a consumption function with income (Y) on the horizontal axis and consumption (C) on the vertical axis, a rise in stock market wealth, all else constant, will result in a movement along the consumption function.Table for Individual Question FeedbackPoints Earned:1.0/1.0Correct Answer(s):False
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40.The stronger the US dollar is relative to the rest of the world, all else constant, the larger the net exports in the US.Table for Individual Question FeedbackPoints Earned:1.0/1.0Correct Answer(s):False41.A fall in the tax rate on capital will cause the aggregate expenditure curve to shift up and the aggregate demandcurve to shift to the left, all else constant.Table for Individual Question FeedbackPoints Earned:1.0/1.0Correct Answer(s):False42.One reason that the aggregate demand curve slopes downward is that when prices rise, say in the US, the relative price of imports fall and thus, US citizens substitute away from domestically produced goods toward imported goods and thus, GDP in the US will fall (all else constant).A) TrueB) FalseTable for Individual Question FeedbackPoints Earned:1.0/1.0Correct Answer(s):True43.Suppose the value of the US dollar changes from $1 = 1.2 euros to $1 = 1.30 euros. This being the case, imports from the US to Europe, have become more expensive to European citizens, all else constant.
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Table for Individual Question FeedbackPoints Earned:1.0/1.0Correct Answer(s):True44.One reason the aggregate demand curve slopes downward is due to the fact that if the price level falls, real money balances rise, all else constant, interest rates will fall causing an increase in consumption and investment.Table for Individual Question FeedbackPoints Earned:1.0/1.0Correct Answer(s):True45.Assuming that natural gas for firm X is an important input to the production process, an increase in the availability of natural gas that lowers the price of natural gas, will result in a leftward shift of firm X's supply curve.Table for Individual Question FeedbackPoints Earned:1.0/1.0Correct Answer(s):False
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