The NAIRU is short for the nonaccelerating inflation rate of unemployment.
Answer the following statement true (T) or false (F)
True
NAIRU stands for the nonaccelerating inflation rate of unemployment.
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Based on the figure below. Starting from long-run equilibrium at point C, a tax cut that increases aggregate demand from AD to AD1 will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies.
A. D; C B. B; C C. B; A D. D; B
Refer to Table 2.3. Assume that 2010 is the base year. The GDP deflator for 2010 is
A) 67.1. B) 84.5. C) 100.0. D) 118.3.
If Sally Smith creates VCU1 by playing an online game, the effect is to cause the nation's:
a. Monetary base to fall. b. M2 money supply to fall. c. M2 money multiplier to remain the same. d. M2 money supply to rise.
Marginal rate of substitution of good X for good Y equals the ratio of marginal utility of X
a. true b. false