EBK STUDY GUIDE FOR MANKIW'S BRIEF PRIN
EBK STUDY GUIDE FOR MANKIW'S BRIEF PRIN
7th Edition
ISBN: 8220103455329
Author: Mankiw
Publisher: CENGAGE L
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Chapter 1, Problem 6QCMC
To determine

Inflation and money supply.

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Find a product that you normally buy. Calculate the inflation adjusted price it should be now based on the original price for 1995 and see what the current price is compared to the calculated price. Has inflation affected the current price or have some other factors affected the price more? How does the affect the economy?  
d. Government imposes costly new regulations to make oil drilling a safer job.
Which would likely increase the average level of interest rates for auto loans? Select one:   a. An increase in inflation. b. An increase in the unemployment rate. c. A decrease in the level of business investment. d. A decrease in the amount of consumer spending.
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