One complication that tends to prolong recessionary gaps is that wages
A. are fixed by unions, which represent nearly all workers in the United States.
B. tend to rise rapidly.
C. rarely fall.
D. tend to move in the opposite direction from prices.
Answer: C
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Wants are
A) another term for needs. B) the things people would consume if they had unlimited incomes. C) the things people consume with their income. D) all the things people really need in order to live comfortably.
What has been the market outcome of government-enforced price floors for agricultural products?
A) Not enough food has been produced. B) Farmers have been made worse off. C) A shortage of agricultural products has resulted. D) A surplus of agricultural products has resulted.
In February 2015, the unemployment rate for those with a college degree was __________.
a. 2.7% b. 5.1% c. 5.4% d. 8.4%
Economic activity moves from a trough into a period of ________ until it reaches a ________ and then into a period of ________.
A. expansion; peak; recession B. recession; peak; expansion C. expansion; trough; recession. D. recession; trough; expansion