In the figure above, the ________ gap is one trillion dollars. To close the gap, the government can change expenditure by ________ one trillion dollars
A) recessionary; less than
B) inflationary; exactly
C) inflationary; more than
D) recessionary; more than
E) recessionary; exactly
A
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Countries that have greater employment protection laws than other countries generally have ________ unemployment rates, with spells of unemployment tending to ________
A) lower; last longer B) lower; be shorter C) higher; last longer D) higher; be shorter
The HPAE have been more open to imports than most developing countries
Indicate whether the statement is true or false
Which of the following is an advantage to money targeting?
A) There is an immediate signal on the achievement of the target. B) It does not rely on a stable money-inflation relationship. C) It implies lack of transparency. D) It implies smaller output fluctuations.
A production possibilities curve will shift inward
A) when the unemployment rate increases. B) when production is inefficient. C) when resources are expanding. D) when a war destroys the capital goods of a country.