Demand-pull inflation is more likely to occur when the economy is producing at maximum capacity
a. True
b. False
Indicate whether the statement is true or false
True
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Which of the following economic theories became popular in the 1930s in response to the shortcomings of existing theories of the Great Depression?
a. New classical theory b. Classical theory c. Traditional Keynesian theory d. Monetarist theory e. New Keynesian theory
Which of the following is most likely to have a negative income elasticity of demand?
a. Overseas vacations b. Fancy restaurant meals c. Day-old bakery products at a discount d. New cars
The nation closest to a centrally planned, socialist economy is
A. China. B. Japan. C. the United States. D. Norway.
How did a great expansion of globalization in the late 1990s increase productivity?
A. Businesses learned how to use computers to produce more output with fewer workers. B. Businesses began sending workers overseas for more training. C. Businesses were able to sell in larger markets as tariffs and import quotas were reduced. D. Businesses learned how to use foreign suppliers to cut costs.