An unexpected exogenous event which has a significant impact on an important sector of the economy or on the economy as a whole is called a(n)
A) macroeconomic shock.
B) countercyclical fluctuation.
C) downward economic spiral.
D) autonomous destabilizer.
A
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The features of the M-Form of firm organization are
a. divisions have difficulty responding to market changes b. it is difficult to maintain customer relationships c. coordination across divisions is simple and does not take much management time d. employee evaluation is hampered by managers often having different skill sets than those the manage
Which of the following statements best describes Keynes’ argument about the markets and unemployment?
a. According to Keynes, when 10 million people are willing and able to work, but one million of them are unemployed, individual markets may be doing a perfectly good job of allocating the efforts of the nine million workers—the problem is that insufficient aggregate demand exists to support jobs for all 10 million. b. According to Keynes, when 10 million people are willing and able to work, but one million of them are unemployed, the problem is that individual markets are not doing a good job of allocating the efforts of the 10 million workers. c. According to Keynes, when 10 million people are willing and able to work, but one million of them are unemployed, sufficient aggregate demand exists to support jobs for all 10 million. d. According to Keynes, when 10 million people are willing and able to work, but one million of them are unemployed, individual markets are not doing a good job of allocating the efforts of the 10 million workers because sufficient aggregate demand exists to support jobs for all 10 million.
When the economy experiences a bust, the government knows exactly which policies will spur an economic recovery.
Answer the following statement true (T) or false (F)
When a firm exits a competitive price-searcher market, the individual demand curves faced by all remaining firms in that market will
a. shift in a direction that is unpredictable without further information. b. shift to the right. c. shift to the left. d. remain unchanged. It is the supply curve that will shift.