Assume an economy experiences, for a given period, a 4% increase in output and a 2% increase in productivity. Given this information, we know that which of the following occurred for this economy during this period?
A) The unemployment rate increased during this period.
B) The unemployment rate decreased during this period.
C) The unemployment rate did not change during this period.
D) The effects on the unemployment rate are ambiguous.
E) none of the above
B
You might also like to view...
An equation that captures how inputs of production are related to output is called a:
A. consumption function. B. GDP deflator. C. production function. D. saving function
"Growth accounting" is concerned with explaining which of the following?
A. sources of unemployment B. sources of interest rate changes C. sources of inflation D. sources of output growth
Collective bargaining agreements that prohibit wage cuts for the duration of the contract contribute to:
A. A wealth effect B. A multiplier effect C. An increase in aggregate supply D. A price level that is inflexible downward
When a bank receives deposits,
A) it must hold the entire amount as reserves in case of withdrawal. B) the Fed requires it to hold only a small percentage as reserves. C) it and it alone decides how much it will hold as reserves. D) its liabilities increase in amount but its assets do not change. E) its assets increase in amount but its liabilities do not change.