Explain why real business cycle theorists believe that business cycles are not a problem
Real business cycle theorists don't believe that clear and discernible business cycles exist. They see only
unevenness in the economy's growth path and view this not as a problem, but rather as a natural,
anticipated, and positive outcome of technological change and increased productivity.
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One trend in labor markets is:
A. a slowdown in real wage growth in the United States since 1973. B. decreasing wage inequality in the United States. C. a decrease in average real wages in the United States and other industrial countries. D. weak rates of job creation in the United States since 1980.
Money is used as a ________ when you visit the local farmers' market and compare prices across different vendors
A) means of payment B) unit of account C) store of value D) medium of exchange E) measure of barter
The supply and demand model assumes
A) no buyer or seller can unilaterally influence the price of the product. B) each unit sold is sold at the same price. C) suppliers and demanders know the price of the product. D) All of the above.
An excise tax on cigarettes
a. will cause both the market price and quantity to increase b. will cause both the market price and quantity to fall c. will cause the market price to rise and the market quantity to fall d. will cause the market price to fall and the market quantity to rise e. None of the above.