Which of the following is NOT associated with the new Keynesian economics?
A) small-menu cost theory
B) market-clearing models to explain business cycles
C) inflation dynamics
D) sticky-price theories of real GDP determination
B
You might also like to view...
In the figure above, the point labeled C in the production possibilities frontier
A) is unattainable; it is beyond the productive capability of this country. B) represents a highly desirable output level in the long run, because it conserves scarce resources. C) represents either unemployed or inefficiently utilized resources. D) represents the maximum sustainable output level for this nation in the long run.
An individual will never buy complete insurance if
a. he or she is risk averse. b. he or she is a risk taker. c. insurance premiums are fair. d. under any circumstances.
An increase in the real interest rate will
a. increase the inflationary premium. b. decrease the inflationary premium. c. increase the price of current consumption relative to future consumption. d. decrease the price of current consumption relative to future consumption.
The shoeleather cost of inflation refers to
a. the redistributional effects of unexpected inflation. b. the time spent searching for low prices when inflation rises. c. the waste of resources used to maintain lower money holdings. d. the increased cost to the government of printing more money.