Potential output is the level of aggregate output that can be sustained in the long run without
A. unemployment.
B. inflation.
C. government regulation.
D. taxes.
Answer: B
Economics
You might also like to view...
With a required reserve ratio of 20 percent, an increase in reserves of $10,000 could lead to a maximum increase in checking account deposits in the entire banking system of
A) $2,000. B) $8,000. C) $50,000. D) $100,000.
Economics
Approximately what percentage of the world's economies experience scarcity?
a. 10% b. 40% c. 85% d. 100%
Economics
Monetary policy is controlled by..
What will be an ideal response?
Economics
The law of one price:
A. can explain short-run exchange rates but not long-run exchange rates. B. is based on arbitrage. C. applies only to real goods and not financial assets. D. is a mathematical concept that is not useful in explaining exchange rates.
Economics