During a time of inflation the nominal rate of interest will be
A. higher than the real rate.
B. the same as the real rate.
C. lower than the real rate.
D. negative.
A. higher than the real rate.
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The sample average is a random variable and
A) is a single number and as a result cannot have a distribution. B) has a probability distribution called its sampling distribution. C) has a probability distribution called the standard normal distribution. D) has a probability distribution that is the same as for the Y1,..., Yn i.i.d. variables.
A rightward shift in the aggregate demand curve can be caused by an increase in:
A. the price level. B. business investment spending. C. taxes. D. production costs.
If a sizable number of workers were switched from full-time to half-time employment, then the official unemployment rate would:
A. rise. B. fall. C. remain unchanged. D. react unpredictably.
In the Malthusian model, improvements in health care lead to
A) higher population and higher per-capita production. B) higher population and lower per-capita production. C) lower population and higher per-capita production. D) lower population and lower per-capita production.