The time-inconsistency problem involves the ________
A) difficulties of traveling across time zones
B) tendency to deviate from good long-run plans in the short-run
C) use of adaptive expectations in building an economic model
D) time lag between the implementation of policy and its ultimate and complete results
B
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How is a budget line similar to a production possibilities frontier? How do they differ?
What will be an ideal response?
In principle, a list of absolute necessities should change regularly over time
Indicate whether the statement is true or false
Veronica deposited $1,000 into an account two years ago. The first year she earned 7 percent interest; the second year she earned 5 percent. How much money does Veronica have in her account today?
a. $1,133.31 b. $1,120.00 c. $1,123.50 d. None of the above are correct to the nearest cent.
Which of the following can make the unemployment rate rise?
A. A decrease in the number of people with jobs. B. A decrease in the number of people neither working nor looking for work. C. An increase in the number of people who are looking for work. D. An increase in the number of people who are looking for work and a decrease in the number of people with jobs.