New Keynesians conclude that
A) appropriate activist policies will increase the length of cyclical fluctuations.
B) appropriate activist policies will have an known effect on the length of cyclical fluctuations.
C) appropriate activist policies can dampen cyclical fluctuations.
D) none of the above.
C
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From 1970 to 2010, as a fraction of GDP, the quantity of money that people and businesses have held has been
A) independent of people's use of credit cards. B) increasing. C) decreasing. D) fluctuating erratically. E) changing only as the interest rate changed.
Macroeconomics, as opposed to microeconomics, includes the study of what determines the level of
A) output of a specific firm. B) employment in the economy. C) employment in a specific industry. D) output of a specific industry.
Zero bound refers to a situation when inflation rates are at or very near zero in an economy
a. True b. False Indicate whether the statement is true or false
If a country sells more goods and services abroad than it purchases abroad, it has positive net exports and a trade surplus
a. True b. False Indicate whether the statement is true or false