According to this Application, the recession of 1929 was primarily due to
A) an increase in aggregate supply resulting from European bank collapses.
B) a decrease in aggregate supply due to rising gold prices.
C) a decrease in aggregate demand resulting from decreases in government spending.
D) a decrease in aggregate demand caused by the private sector.
D
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The absolute price elasticity of demand would be the lowest for
A) automobiles. B) Pizza Hut pizza. C) salt. D) movie tickets.
Frictional unemployment depends on _____
a. the age distribution of the population b. the years of work experience of the population c. the education level of the female population d. the ethnicity of the male population
Which of the following is true?
a. In 2002, national defense accounted for more than half of federal spending. b. Federal spending on national defense has increase rapidly during the last several decades. c. Federal spending on health care programs such as Medicare and Medicaid has increased rapidly during the last several decades. d. Federal spending in the aftermath of hurricane Katrina expanded over 50%.
Assume expectations of both prices and productivity are accurate,use the PS/WS relations, graphically illustrate and explain the effects of an increase in the productivity on the natural rate of unemployment
What will be an ideal response?