Constructing the Phillips curve: __________ is measured on the vertical axis and __________ is measured on the horizontal axis
a. rate of inflation, rate of unemployment
b. level of inflation, level of unemployment
c. nominal GDP, real GDP
d. aggregate demand, aggregate supply
e. percent of automatic stabilization, percent of discretionary stabilization
A
You might also like to view...
Average revenue for a perfectly competitive firm is equal to
a. price times output b. marginal revenue c. total revenue/marginal revenue d. output/total revenue e. zero
If you accept the Phillips curve, then it is possible to attain zero unemployment and zero inflation at the same time
Indicate whether the statement is true or false
This graph demonstrates the domestic demand and supply for a good, as well as a quota and the world price for that good.
According to the graph shown, when this economy is open to free trade without restriction, the amount imported is:
A. 900. B. 1250. C. 1000. D. 650.
The chain-weighted index for GDP and the CPI differ in that the CPI:
A. excludes price changes from used and imported goods while the chain-weighted index includes these price changes. B. asks how much a fixed basket of goods costs in the current year as compared to the cost of those same goods in a base year while the chain-weighted index takes an average of price changes using base years from neighboring years. C. is calculated by the Commerce Department while the chain-weighted index is calculated by local newspapers. D. is calculated in nominal terms and the chain-weighted index is calculated in real terms.