The curve showing the short-run relationship between the ________ and the ________ is called the Phillips curve
A) unemployment rate; inflation rate B) exchange rate; real interest rate
C) price level; real GDP D) nominal interest rate; real interest rate
A
You might also like to view...
Assume that for a particular firm's output price = $80, marginal cost = $30, average total cost = $25. Based on this information, the firm's Lerner Index is equal to:
A) 0.313. B) 0.375. C) 0.6. D) 0.625.
While most economists believe that Keynes was correct when he placed primary focus on aggregate demand manipulation to solve the recessionary gap of the Great Depression, supply-siders are critical of this focus, claiming that
A. Keynesian economics can only be successful if interest rates are allowed to rise. B. Keynesian economics diverted attention away from important factors such as work effort, labor productivity, and incentives to save and invest. C. the Great Depression was caused by the stock market crash of 1929, not a decline in aggregate demand. D. greater control of the way in which stocks and bonds were traded would have brought the economy out of the Great Depression.
The reason pollution occurs is because people tend to
A. Maximize their personal welfare, balancing social benefits against social costs. B. Maximize their personal welfare, balancing private benefits against private costs. C. Maximize society's welfare, balancing private benefits against private costs. D. Consider the impact of their activities on society first.
If country A has a higher opportunity cost in producing good X than does country B, then we know that
A. country B has an absolute advantage in the production of product X. B. country B has a comparative advantage in the production of product X. C. country A has an absolute advantage in the production of product X. D. country A has a comparative advantage in the production of product X.