A decrease in the economy’s capacity utilization rate
a. tends to decrease the unemployment rate.
b. tends to increase the unemployment rate.
c. has no impact on the unemployment rate.
d. tends to have an unpredictable effect on the unemployment rate.
b. tends to increase the unemployment rate.
You might also like to view...
A Japanese flour mill buys wheat from the United States and pays for it with yen. Other things the same, Japanese
a. net exports increase, and U.S. net capital outflow increases. b. net exports increase, and U.S. net capital outflow decreases. c. net exports decrease, and U.S. net capital outflow increases. d. net exports decrease, and U.S. net capital outflow decreases.
Using Figure 1 above, if the aggregate demand curve shifts from AD1 to AD2 the result in the long run would be:
A. P1 and Y2. B. P2 and Y2. C. P3 and Y1. D. P2 and Y3.
The rapid spread of ATMs has:
A. resulted from changes in banking laws. B. increased the demand for bank tellers. C. reduced the demand for bank tellers. D. increased the hourly wage paid to bank tellers.
The price system features
A) exchanges made in currency only. B) voluntary exchange that makes both the consumer and producer better off. C) exchanges made only on a barter basis. D) an exchange in which consumer is made better off and the producer is made worse off.