When deciding on an appropriate course of action to counter a recessionary gap, which of the following do policymakers consider?
A. The slope of the short-run Phillips curve
B. The costs of inflation and unemployment
C. The efficiency of the economy’s self-correcting mechanism
D. All of these responses are correct.
Answer: D
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The most successful free trade agreements achieve all of the following goals, except:
a. benefiting exporters by increasing exports to member countries. b. increasing the volume of trade without changing the pattern of trade. c. benefiting consumers by making a wider variety of goods available at a lower price. d. stimulating trade creation to allow the benefits of trade to be realized. e. protecting domestic industries from foreign competition.
an inflation rate in excess of 200%, lasting at least one year
What will be an ideal response?
Recall the Application about using value added to measure the size of Walmart to answer the following question(s). Explain why we should use Walmart's value added, not its sales, when analyzing its impact on the U.S. economy.
What will be an ideal response?
Justin and Maria work at a restaurant. Justin can make either 10 pancakes or 4 waffles; Maria can make either 8 pancakes or 2 waffles. According to this scenario, the opportunity cost of making one waffle for Maria is
A. 1/4 pancake. B. 4 pancakes. C. 2/5 pancake. D. 2 1/2 pancakes.