Bookmarks Profiles Tab Window Help X F Quiz: Module 8 Test rses/10176/quizzes/20592/take Sherri lives in Canada and is considering buying a new sofa. If the price level in Canada falls and the price level in the United States does not change, Canadian manufactured sofas are relatively less expensive, so Sherri will likely purchase a U.S. manufactured sofa. O more expensive, so Sherri will likely purchase a U.S. manufactured sofa. less expensive, so Sherri will likely purchase a Canadian manufactured sofa. Both answers more expensive, so Sherri will likely purchase a Canadian manufactured sofa and less expensive, so Sherri will likely purchase a Canadian manufactured sofa could be correct depending on whether U.S. manufactured sofas were initially more expensive or less expensive than Canadian sofas. O more expensive, so Sherri will likely purchase a Canadian manufactured sofa. D Question 17 4 pts A macroeconomic equilibrium occurs when the O quantity of real GDP demanded equals the quantity of real GDP supplied even if they are not equal to potential GDP. quantity of real GDP demanded is greater than the quantity of real GDP supplied. quantity of real GDP demanded is less than the quantity of real GDP supplied. None of the above answers is correct. O quantity of real GDP demanded equals the quantity of real GDP supplied and both equal potential GDP 10 NOV 29 zoom P MacBook Air 80 a 0 KK DII DD A F3 F4 F6 F7 F8 F9 F10 $ % &Quiz: Module 8 Test X 76/quizzes/20592/take When the price level rises and increases the demand for money, the nominal interest rate and the real interest rate_ does not change; does not change O falls; falls falls; rises O rises; rises O rises; falls Question 15 4 pts In the short run, a rise in the price level brings a _ in the real interest rate that investment, bringing _ in the quantity of real GDP demanded. O fall; increases; an increase rise; increases; an increase rise; decreases; an increase rise; decreases; a decrease fall; decreases; a decrease NOY 29 zoom MacBook Air DII DD A F3 F5 F6 F7 F8 F9 F10 $ % &176/quizzes/20592/take Last year the price level increased from 118 to 122. The increase in the price level leads to a decrease in O potential GDP. the money wage rate. the price of domestic goods and services relative to foreign goods and services. O the buying power of money. the real interest rate. D Question 13 4 pts A year over year in the buying power of money means that definitely . from one year to the next. decrease; inflation increased Both answers A and C are correct. decrease; the price level increased increase; inflation increased increase; the price level increased 29 zoom MacBook Air 80 Q DII F3 DD F4 F5 F6 F7 F8 F9 F10 $ % &