According to new classical economics, fiscal policy can change equilibrium real GDP only if it changes the price level or one of the determinants of aggregate supply, and people expect this change
a. True
b. False
Indicate whether the statement is true or false
False
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The "Anything-Can-Happen" theorem doesn't really imply "anything can happen" in a democratic process with multiple issues; rather, it implies that political outcomes can be manipulated, and some political institutions are better at constraining the degree to which this can be done than others. Do you agree or disagree with this statement? Why?
What will be an ideal response?
Which cost always increases as output increases?
A) total cost B) marginal cost C) average total cost D) average fixed cost
A trademark is: a. a method of production kept secret by the producing firm
b. a word, name, symbol, or device indicating the source of a good that can only be used by the firm that registered it. c. a government rule that gives an inventor the exclusive legal right to make, use, or sell an invention for a limited time. d. a body of law that protects the right of inventors to produce and sell their inventions.
List and briefly describe the three key reasons for income inequality in a market-based economy.
What will be an ideal response?