During the 1960s, when confronted with moderate and stable inflation, people tended to form adaptive expectations of future inflation rates
Indicate whether the statement is true or false
TRUE
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To combat inflation in 1955 and 1956, the Fed reduced the money supply. In terms of the AS/AD model, this change should have:
A. made the AD curve flatter. B. shifted the AD curve to the right. C. shifted the AD curve to the left. D. made the AD curve steeper.
Refer to the information provided in Figure 5.7 below to answer the question(s) that follow.
Figure 5.7The above figure represents the market for pumpkins both before and after the imposition of an excise tax, which is represented by the shift of the supply curve.Refer to Figure 5.7. Had the demand for pumpkins been perfectly inelastic at Point A, the amount customers would have paid per pumpkin after the imposition of this tax would have been
A. $0. B. $5.50. C. $7.25. D. $8.50.
There is a bill pending before the Kansas State Legislature that would prohibit private companies from selling health insurance and would make the state the single payer of health care bills. Private health insurance companies that have made above normal profits have spent large sums of money trying to ________. This is an example of rent-seeking behavior.
A. prevent this bill from being passed into law B. pass an even more restrictive bill C. get this bill made into law D. fund the state for its single-payer system
India is a democratic country with a history of rule-of-law and an English-speaking heritage, all factors thought to give a development advantage.
Answer the following statement true (T) or false (F)