According to adaptive expectations theory, which of the following would be the result of expansionary monetary and fiscal policies?
a. The economy self-corrects to the natural rate of unemployment.
b. There is no long-run trade off between inflation and unemployment.
c. The inflation rate rises.
d. All of these.
a
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Illustrate with a graph the effects of fiscal policy when exchange rates are fixed
What will be an ideal response?
What type of elasticity, when the quantity drops by less than 10 percent, the total revenue increases by less than 10 percent?
a. elastic b. inelastic c. unit elastic d. perfectly elastic
Suppose that a large group of local merchants donate 10,000 "3-R Dollars" to local schools, a colorful local currency that the schools can spend at a wide variety of participating local stores as a perfect substitute for dollars, now or in the future. So, 3-R dollars meet the requirements of money
Indicate whether the statement is true or false
In 2016 the largest U.S. cash transfer program was
A. Medicaid. B. Social Security. C. Food stamps. D. TANF.