The sacrifice ratio is
A) the amount of output lost when the inflation rate is reduced by one percentage point.
B) the percentage reduction in inflation when output falls one percentage point below potential.
C) the percentage change in employment when output declines by one percentage point.
D) the number of percentage points that the unemployment rate rises when output declines by one percentage point.
A
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The demand curve of a monopolist is: a. is identical to the marginal cost curve
b. downward sloping and above the marginal revenue curve. c. downward sloping and below the marginal revenue curve. d. kinked because of recognized interdependence with other firms.
For economic efficiency, which of the following conditions should be met?
a. Scarcer goods should have lower prices. b. More abundant goods should have lower prices. c. More abundant goods should have higher prices. d. All goods should have equal prices.
Refer to the information provided in Table 3.1 below to answer the question(s) that follow. Table 3.1Price per PizzaQuantity Demanded (Pizzas per Month)Quantity Supplied (Pizzas per Month)$31,200 600 61,000 700 9 800 80012 600 90015 4001,000Refer to Table 3.1. If the price per pizza is $12, the price will
A. increase because there is an excess demand in the market. B. decrease because there is an excess supply in the market. C. decrease because there is an excess demand in the market. D. remain constant because the market is in equilibrium.
The market value of all domestically produced final goods and services are also equal to the total amount spent by ________ less spending on imported goods and services.
A. households, firms, and governments B. households, firms, and the foreign sector C. households, firms, governments, and the foreign sector D. households and firms