In the Keynesian model a recessionary gap will develop if there is:
A. stabilization policy.
B. an increase in average labor productivity.
C. too little spending.
D. too much spending.
Answer: C
You might also like to view...
The economy pictured in the figure below has a(n) ________ gap with a short-run equilibrium combination of inflation and output indicated by point ________. 
A. recessionary; B B. recessionary; C C. recessionary; A D. expansionary; A
Figure 10-9
?
Figure 10-9 illustrates a period of
A. economic growth and high inflation. B. economic growth and low inflation. C. economic recession and high inflation. D. economic recession and low inflation.
Reinsurance allows ________ to reduce the risks of exposure by allocating a portion of the risk to ________ in exchange for a portion of the premium
A) insurance companies; another insurance company B) insurance companies; the insured C) the insured; the insurance company D) the insured; a bank
The McCallum management principles advocate the use of
a. time-motion study to determine the most productive way to perform job-tasks. b. employee stock-purchase programs. c. internal accounting systems and performance evaluations. d. leveraged buy-outs to increase the firm's control of an industry.