The fact that severe fluctuations in inflation and unemployment are socially undesirable helps make the case for
A. a “hands off” policy by the government.
B. fixed prices and wages.
C. active government stabilization policy.
D. restrictions on imports from low wage countries.
Answer: C
You might also like to view...
If the quantity demanded changes proportionately the same as price, demand is said to be
A) vertical. B) elastic. C) unit elastic D) inelastic.
Explain how the demand for labor is determined
In Zimbabwe, at the height of the feedback loop:
A. prices were increasing by 7.6 billion percent per month. B. real GDP was increasing by 7.6 billion percent per month. C. the money supply was increasing by 7.6 billion percent per month. D. the velocity of money was increasing by 7.6 billion percent per month.
If the interest rate is 10 percent per year, and you have $100,000 now, which of the following is closest to what your $100,000 will be worth in one year?
A) $105,000 B) $110,000 C) $100,000 D) $102,000