Stabilization policy refers to the use of:
A. only fiscal policy.
B. policy to shift the long-run aggregate supply curve.
C. either fiscal or monetary policy.
D. only monetary policy.
Answer: C
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One of the shortcomings of the government's method of measuring unemployment tends to make the official unemployment rate an overestimate of the unemployment problem:
A) people working less than twenty hours a week are counted as unemployed. B) people seeking part-time jobs are counted as fully unemployed. C) people who have given up looking for work are counted as fully unemployed. D) "discouraged workers" aren't counted as unemployed.
What criteria should be used in deciding the best definition of the money supply?
What will be an ideal response?
A change in the quantity demanded of labor is represented by a shift in the labor demand curve
a. True b. False Indicate whether the statement is true or false
Monetary stimulus is only helpful to an economy:
A. that is experiencing high inflation. B. that is in recession. C. experiencing significant negative externalities. D. with few public goods.