What is the difference between the short run and the long run when there is full employment and the government engages in deficit spending?
A) Real GDP will increase in the short run but not the long run.
B) Real GDP will not increase in either the long run or the short run.
C) Real GDP will increase in the long run but not the short run.
D) Real GDP will increase in both the short run and the long run.
A
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Points inside the production possibilities frontier represent
a. full and efficient use of all resources b. inefficiency or unemployment (or both) c. currently unattainable combinations of outputs d. currently unattainable combinations of resources e. the most desirable combinations of outputs
What questions should an employee ask before accepting options as part of or instead of a salary?
What will be an ideal response?
Increases in the duration of unemployment may
A. increase the number of discouraged workers. B. reflect a general downturn in economic activity that depresses job openings. C. increase the unemployment rate. D. all of these.
The Federal Reserve, the Bank of England, the European Central Bank, and the Bank of Japan are largely
A. run by those appointed for life. B. independent of political influence. C. corrupt. D. controlled by political parties.