What happens to economic growth and unemployment during a business cycle recession? What is the relationship between the money growth rate and a business cycle recession?

What will be an ideal response?


During a recession, output declines and unemployment increases. Prior to almost every recession in the U.S. the money growth rate has declined, however, not every decline is followed by a recession.

Economics

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The recognition lag for fiscal policy is ________ it is for monetary policy

A) generally longer than B) generally shorter than C) roughly the same as D) There is not a recognition lag for fiscal policy.

Economics

Which of the following statements about the balance of payments accounts is CORRECT?

A) The current account must be greater than the capital and financial account. B) The sum of all three accounts is always zero. C) The official settlements account is typically larger than both the capital and financial account and the current account. D) Typically the capital and financial account is near zero because it equals the difference between the current account and the official settlements account.

Economics

A move from F to G represents


A. an increase in quantity demanded.
B. a decrease in quantity demanded.
C. an increase in demand.
D. a decrease in demand.

Economics

A fund that takes household savings and puts them into ________ projects in exchange for a share of the profits if the new business succeeds is a venture capital fund.

A. high-risk B. low-risk C. government D. zero-risk

Economics