When an economy is temporarily operating at an output that is beyond its full-employment rate, which of the following is true?
What will be an ideal response?
Excess demand in resource markets will lead to higher resource prices, which will increase costs and direct the economy toward full employment.
You might also like to view...
Demand for cigarettes is
A. relatively elastic. B. relatively inelastic. C. increasing in the U.S. D. greater among wealthier people.
Of the types of business organizations in the United States, corporations account for ________ percentage of revenues and ________ percentage of profits
A) the smallest; the largest B) largest; neither the largest nor smallest C) neither the largest nor smallest; the largest D) the largest; the largest
Free riding can be found in team structures
Indicate whether the statement is true or false
The United States economy ______________ operates on its production possibility curve.
A. Always B. Sometimes C. Never