Which of the following is true about monetary policy?
A. It is ineffective in the long run and difficult in the short run.
B. It is effective in the long run and easy in the short run.
C. It is ineffective in the short run and difficult in the long run.
D. It is effective in the short run and easy in the long run.
Answer: A. It is ineffective in the long run and difficult in the short run.
You might also like to view...
These are the cost and revenue curves associated with a firm.
Assuming the firm in the graph is producing Q1 and charging P3, it is likely showing the cost and revenue curves of a firm in:
A. the long run, and no firms will enter or exit. B. the short run, and firms will leave this market. C. the long run, and firms will enter this market. D. the short run, and firms will enter this market.
In the short run, if the marginal product is at its maximum, then the
A) average cost is at its minimum. B) average variable cost is at its minimum. C) marginal cost is at its minimum. D) total cost is at its maximum.
Two key consequences of asymmetric information are adverse selection and moral hazard. Define each concept, provide one example of each, and explain how the two concepts differ
What will be an ideal response?
If a society moves from a period of time with significant unemployment to a time with full employment, its production possibilities frontier will
A) shift rightward. B) not shift because the society moves from a point inside the frontier to a point on the frontier. C) shift leftward. D) not shift because the society moves from one point on the frontier to a point inside the frontier. E) not shift because the society moves from one point on the frontier to a point outside the frontier.