In the aggregate demand-aggregate supply model, if entrepreneurs become convinced that future profitability of capital has increased,
A) current output will fall, but the price level will rise.
B) current output will rise, but the price level will fall.
C) current output and the price level will both rise.
D) current output and the price level will both fall.
C
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Which of the following policies face difficult problems of timing?
A) Fiscal policy B) Monetary policy C) Both of the above. D) None of the above.
Which of the following best defines the specialization of resources?
a. Workers are compensated as individuals. b. Special resources are needed to produce most goods. c. Each resource is paid for in full. d. Each resource is paid the most if it is specialized. e. Each resource is focused on a limited number of productive activities.
In 2007, the value of the American dollar rose relative to the euro
a. True b. False Indicate whether the statement is true or false
People who report being not in the labor force but who, in fact, want to work but have given up trying to find a job after an unsuccessful search cause the reported unemployment rate to be lower than it would otherwise be
a. True b. False Indicate whether the statement is true or false