As prices in Zimbabwe began to rise:
A. Mugabe was able to pay bribes with the new money and then started the process of reducing inflation.
B. people immediately lost faith in the Zimbabwean dollar, causing its value to plummet to zero.
C. people updated their inflation expectations so that future increases in the money supply were impossible.
D. the government had to print even more money to continue to buy just as many goods as it did before.
Ans: D. the government had to print even more money to continue to buy just as many goods as it did before.
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Refer to the below graphs. (Assume that the pre-migration labor force in Country A is 100 and that it is 150 in country B.) Domestic output in country B will, after immigration:
A. Increase by $50M
B. Increase by $250M
C. Decrease by $50M
D. Decrease by $250M
If the demand for recycled plastic is specified as QD = 100 – 2.5P, the slope of demand,as conventionally graphed, is
a. –2.5 b. –0.4 c. +100 d. none of the above
The discovery of a new oil field has attracted several new investors to Oiland. How will this affect Oiland's labor demand curve?
What will be an ideal response?
Real GDP per capita:
A. cannot grow more rapidly than real GDP. B. cannot grow more slowly than real GDP. C. necessarily grows more rapidly than real GDP. D. can grow either more slowly or more rapidly than real GDP.