Continuous inflation requires repeated ________ shifts of the SAS curve, accompanied by continuous ________ of price expectations.
A. leftward; upward adjustments
B. rightward; downward adjustments
C. inward; downward adjustments
D. None of the above, inflation is primarily a demand side phenomenon.
Ans: A. leftward; upward adjustments
You might also like to view...
Logrolling creates a political market and campaign donations are the medium of exchange
a. True b. False
If on Tuesday you can buy 125 yen per U.S. dollar and on Wednesday you can buy 120 yen per U.S. dollar,
a. both the U.S. dollar and the yen have appreciated b. both the U.S. dollar and the yen have depreciated c. the U.S. dollar has appreciated and the yen has depreciated d. the U.S. dollar has depreciated and the yen has appreciated e. the yen has appreciated and the U.S. dollar has remained constant
Who are the only ones not affected when a Pigouvian subsidy is implemented for a positive externality in a market?
A. Producers B. Consumers C. Those affected by the externality D. All of these groups are affected when it becomes internalized.
Which of the following is not true about government spending on national defense?
a. It is the third-largest spending category for the U.S. federal government. b. It includes salaries of military personnel. c. It fluctuates over time as the political climate changes. d. It is not financed with tax revenue.