The recognition lag refers to the:
a. time taken for changes in the money supply to be translated into changes in realGDP
b. time taken by policymakers to formulate an appropriate policy to solve aneconomic problem.
c. time taken by policies to have an impact on the different macroeconomic variables.
d. time taken by policymakers to recognize that an economic problem exists.
e. natural difference between monetary policy timing and fiscal policy timing.
d
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If the elasticity of supply of labor is low and the elasticity of demand for labor is high, then workers pay most of the Social Security tax levied on labor
Indicate whether the statement is true or false
Katy is holding an English auction. If she estimates the values of her bidders to be $2, $4, $10, $15 and $25, she should expect to be able to make ____ off the auction
a. Just above $10 b. Just below $10 c. Just above $15 d. Just below $15
Suppose a bottle of wine costs 20 euros in France and 25 dollars in the United States. If the exchange rate is .80 euros per dollar, what is the real exchange rate?
If the price of margarine falls, the demand for butter will
A) remain unchanged. B) increase. C) decrease. D) rise at first and then fall.