Faster economic growth in the United States may lead to the serious macroeconomic problem of higher
A. levels of unemployment.
B. federal budget deficits.
C. levels of inflation.
D. levels of poverty.
Answer: C
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Poland is classified as
A) an advanced economy. B) a developing economy. C) a transition economy. D) an emerging market economy. E) private economy.
How does the cross elasticity of demand differ from the price elasticity of demand? How are they related?
What will be an ideal response?
If there is an unanticipated decrease in aggregate demand, which of the following is most likely to occur?
a. an increase in the price level b. a reduction in employment c. an increase in the growth rate of real GDP d. an increase in consumption
Stagflation
A) is highly unlikely if the Phillips curve is downward sloping. B) implies that a tradeoff between inflation and unemployment may not always exist. C) is the simultaneous occurrence of high rates of inflation and unemployment. D) b and c E) a, b, and c