Distinguishing between stock measures and flow measures of the labor force, the stock measures are
A) the labor force only.
B) the number of people who lost their jobs and the number of people who found jobs only.
C) the total number of people who are unemployed only.
D) the total number in the labor force and the total number of people who are unemployed only.
D
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When the extraordinary failures of S&Ls drove FSLIC into financial crisis, the
a. government diverted taxes from funding government projects to support the FSLIC b. government created the FDIC to replace the FSLIC c. government created the Resolution Trust Corporation to handle the crisis d. Federal Reserve permanently lowered the discount rate which relieved FSLIC of financial pressure e. Treasury Department issued bonds to cover FSLIC losses
If a firm is using optimal input proportions, it is minimizing its costs
a. True b. False Indicate whether the statement is true or false
Suppose there is a decrease in aggregate demand. If the Fed wants to stabilize output it could
a. buy bonds. These purchases also move the price level closer to its original level. b. buy bonds. However these purchases move the price level farther from its original level. c. sell bonds. These sales also move the price level closer to its original level. d. sell bonds. However these sales move the price level farther from its original level.
Provisions that cause changes in government spending and taxes that do NOT require action of the President or Congress are called
A. discretionary fiscal policy. B. private stabilization effects. C. automatic stabilizers. D. discretionary stabilizers.