If the Fed lowers the inflation rate and initially expected inflation does not change, in the short run the unemployment rate ________, and in the long run the unemployment rate ________ the natural unemployment rate
A) does not change; is greater than
B) rises; is greater than
C) falls; is equal to
D) rises; is equal to
E) does not change; is equal to
D
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During the off season, a fruit picker did not work, so he should be considered:
a. cyclically unemployed. b. frictionally unemployed. c. structurally unemployed. d. seasonally unemployed. e. naturally unemployed.
If the real rate of return is 2 percent, and the inflation rate is 2 percent, then the nominal interest rate must be:
A. ?4 percent. B. ?2 percent. C. 4 percent. D. 2 percent.
Household savings rates:
A. were fairly constant at about 5 %in the United States from 2000 to 2010. B. were roughly 5% in the United States in 2016. C. were 10% in the United States in 2016. D. have been roughly 15 % in the United States for the last 30 years or so.
An decrease in equilibrium quantity would result from
A. an increase in demand with no change in supply. B. a decrease in supply with no change in demand. C. a decrease in demand with no change in supply. D. both a decrease in supply with no change in demand and a decrease in demand with no change in supply.