The tradeoffs between rates of employment and inflation during the 1970s and 1980s forced economists to reassess their earlier beliefs about the Phillips curve to conclude that
a. the Phillips curve was upward sloping, not downward sloping as imagined
b. rather than there being one Phillips curve, there is a set of such curves
c. the expected trade-offs did not occur, meaning that policy to lower unemployment rates would not cause inflation
d. the aggregate supply curve was a horizontal-vertical (two sides of a right angle) curve, as Keynesians believed
e. the aggregate supply curve actually sloped downward because price levels fell whenreal GDP rose
B
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How would a decrease in the price of the feed grains used to feed cattle affect the market for beef?
A. The demand for beef would increase, increasing beef prices. B. The demand for beef would decrease, decreasing beef prices. C. The supply of beef would increase, decreasing beef prices. D. The supply of beef would decrease, increasing beef prices.
An unusual feature relating to corporate governance at Snapchat is that stock shares sold during its IPO
A) were sold only to the company's early investors who had provided funds to the firm prior to the IPO. B) were sold only to the company's two founders. C) carried no voting rights for electing the board of directors. D) were sold only to its previously announced board of directors.
The formula ?q/?L represents
A. the marginal product of labor. B. the average product of labor. C. total product. D. the capital-to-labor ratio.
Strawberries are produced in a perfectly competitive market. Average consumer incomes decrease. This will cause the individual strawberry farmer's marginal revenue to ________ and their profit-maximizing level of output to ________.
A. increase; increase B. increase; decrease C. decrease; increase D. decrease; decrease