"A rise in government expenditures raised output in the short run, but left output unaffected in the long run." This statement implies that the price level __________ in the long run, causing the interest rate to __________
A) rose; rise
B) rose; fall
C) fell; rise
D) fell; fall
A
Economics
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A constant marginal rate of substitution between two goods implies that they are
A) perfect complements. B) perfect substitutes. C) independent goods. D) unattainable.
Economics
When people become unemployed because of a higher minimum wage, this type of unemployment is called
a. frictional. b. structural. c. cyclical. d. abnormal.
Economics
The most common form of business organization, as far as the number of such firms in business, is the
A) proprietorship. B) partnership. C) corporation. D) S corporation.
Economics
The economic impact of automatic stabilizers during ________ periods is to decrease taxes.
A. growth B. recessionary C. expansionary D. inflationary
Economics