The self-correcting tendency of the economy means that falling inflation eventually eliminates:
A. exogenous spending.
B. recessionary gaps.
C. expansionary gaps.
D. unemployment.
Answer: B
You might also like to view...
Refer to Scenario 17.3. If there is no insurance and a fire protection program in place, the expected loss from fire for this company is
A) $0. B) $300. C) $3,000. D) $6,000. E) $300,000.
The RBV perspective locates the source of competitive advantage for a firm at the
a. Individual firm level b. Industry level c. Customer Level d. None of the above
In terms of importance, what place does the advent of the euro hold in economic history?
A) It is an important innovation in the evolution of fixed exchange rates. B) It is an interesting experiment from which we can learn lessons. C) It is a bold experiment, affecting hundreds of millions of people in one of the most prosperous economic regions. D) In the grand scheme of things, the euro is less important than the fixed exchange rate scheme devised in Bretton Woods, New Hampshire.
Which of the following is NOT included in the MZM definition of money?
A) currency.
B) money market funds.
C) travelers checks.
D) small-denomination time deposits.