In the fooling model, should an expansion of aggregate demand cause fooling, the actual real wage ________ while the expected real wage ________

A) rises, rises
B) rises, remains constant
C) falls, falls
D) falls, remains constant
E) falls, rises


E

Economics

You might also like to view...

In the Modern Keynesian Model the short run aggregate supply curve slopes upward. How could one explain the shape of the upward sloping? short-run aggregate supply curve by only focusing on the capital? input?

Economics

Monetarists maintain that the increase in the money supply can explain the inflation of the 1970s and 1980s when one considers the bonds purchased by the Fed to finance the federal deficits of the period

Indicate whether the statement is true or false

Economics

Full employment means which of the following is zero?

a. structural unemployment b. cyclical unemployment c. frictional unemployment d. aggregate unemployment

Economics

The country that did NOT opt out of the currency union is:

A) United Kingdom. B) Sweden. C) Denmark. D) Italy.

Economics