In the Long-Run ISLM Model and with Everything Else Held

question 7

Multiple Choice

In the long-run ISLM model and with everything else held constant,the long-run effect of a fall in net exports is to ________ real output and ________ the interest rate.

• A)increase;increase
• B)increase;not change
• C)not change;increase
• D)not change;decrease

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Definitions:

Behavioral Therapy

Therapy that focuses on changing a person’s specific behaviors by replacing unwanted behaviors with desired behaviors.

Food Intake

Refers to the consumption of food and beverages by an individual or organism.

Avoided Foods

Foods that individuals choose not to eat for various reasons including allergies, health conditions, ethical beliefs, or personal preferences.

Cognitive-Behavioral Therapy (CBT)

A form of psychotherapy that focuses on modifying dysfunctional emotions, behaviors, and thoughts through a goal-oriented, systematic procedure.