Fiscal policy may not work as policymakers intend it to work because of
A) crowding out.
B) lags.
C) the position of the physical production possibilities frontier.
D) a and b
E) a, b, and c
D
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In economics, cost is measured as ________, and benefit is measured as ________
A) what you are willing to pay on the margin; what the government pays you when you are unemployed or retired B) the amount of money that you pay on the margin; the amount of money that you receive on the margin C) what you must give up to get something; what you are willing to give up to get it D) the amount of money that you pay for something; the amount of money that someone else is willing to pay you E) what you are willing to give up to get it; what you must give up to get something
Use the information below to explain adjustments that move the economy to a long-run equilibrium. Assume that firms and workers have adaptive expectations
The current unemployment rate = 7%. The natural rate of unemployment = 5.5%. Last year's inflation rate = 5%. This year's inflation rate = 4%.
In the simple trade model, what is assumed about labor?
What will be an ideal response?
The value of future payments is affected by
A. The possibility of nonpayment. B. The par value. C. The level of dividends. D. Capital gains.