Keynesian economics:
A. affirms the classical economists' basic premise concerning competitive markets.
B. believes that monopolies and unions tend to be permanent fixtures in our economy and the prices they create tend to be flexible, at least downwardly.
C. emphasizes the possibility that an economy can never be in equilibrium at less than full employment.
D. believes that unemployment results when aggregate demand is insufficient to reach a full-employment level of real GDP.
Answer: D
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According to the interest rate effect, as the price level:
a. rises, people feel poorer and buy less. b. rises, United States products become more expensive and foreigners buy less U.S. goods. c. rises, interest rates fall, and people buy less. d. rises, interest rates rise, and people buy less. e. falls, interest rates fall, and people buy less.
Property law
a. helps to ensure that only voluntary exchanges occur b. tends to decrease the level of economic efficiency c. helps define ownership rights to resources d. establishes property taxes e. helps to distribute government property
Which region has the highest proportion of its children working?
What will be an ideal response?
The economic impact of automatic stabilizers during ________ periods is to moderate economic downturns.
A. inflationary B. recessionary C. deflationary D. expansionary