Help with macroeconomics homework?

1) If Congress engages in contractionary fiscal policy, we can expect that a) the short-run Phillips curve will shift left. b) the short-run Phillips curve will shift right. c) the long-run Phillips curve will shift right. d) there will be a movement to the right along the short-run Phillips curve. e) there will... show more 1) If Congress engages in contractionary fiscal policy, we can expect that

a) the short-run Phillips curve will shift left.
b) the short-run Phillips curve will shift right.
c) the long-run Phillips curve will shift right.
d) there will be a movement to the right along the short-run Phillips curve.
e) there will be a movement to the left along the short-run Phillips curve.


2) If the Federal Reserve conducts an open market purchase, we can expect that

a) the short-run Phillips curve will shift left.
b) the short-run Phillips curve will shift right.
c) the long-run Phillips curve will shift right.
d) there will be a movement to the right along the short-run Phillips curve.
e) there will be a movement to the left along the short-run Phillips curve.


3) If Congress votes to increase spending, how would output, the interest rates and the international value of the dollar (based on change in interest rates) change as a result?

Output / Interest Rates / International Value of Dollar

a) Increase / Decrease / Increase
b) Increase / Increase/ Increase
c) Increase / Increase / Decrease (<- ?)
d) Decrease / Decrease / Increase
e) Decrease / Increase / Decrease


4) Which of the following would occur if Congress voted to decrease spending?

a) Output would increase.
b) Price level would increase.
c) Employment would increase.
d) Real interest rates would increase. (<- ?)
e) Nominal interest rates would decrease. (or <- ?)
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