In the new Keynesian model, an ________ increase in productivity will impact ________
A) unanticipated; both aggregate demand and aggregate supply
B) anticipated; both aggregate demand and aggregate supply
C) anticipated; aggregate demand, but not aggregate supply
D) unanticipated; aggregate demand, but not aggregate supply
B
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Price cap regulation is a
A) price ceiling. B) price floor. C) form of marginal cost regulation. D) type of rate of return regulation.
Explain the two approaches to calculating GDP
The unemployment rate is calculated as
A. the number of unemployed divided by the labor force. B. the rate of inflation minus the rate of employment. C. structural unemployment divided by GDP. D. total productivity divided by frictional unemployment.
If an individual perfectly competitive firm charges a price ________ the industry equilibrium price while competitors charge the equilibrium price, the firm will not sell any of what it produces.
A. above B. equal to C. below D. More information is needed to answer the question.