Inflation targets can increase the central bank's flexibility in responding to declines in aggregate spending
Declines in aggregate ________ that cause the inflation rate to fall below the floor of the target range will automatically stimulate the central bank to ________ monetary policy without fearing that this action will trigger a rise in inflation expectations. A) demand: tighten
B) demand; loosen
C) supply; tighten
D) supply; loosen
B
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In France, two qualities of wines are produced - table wine sold in bulk (bring your own bottle) and a higher quality of wine. Suppose that the English import all their wine from France. Then, we would we expect to find, on average that
a. the English drink more of the higher quality of wine, because transportation costs will lower the relative price of high-quality wine relative to table quality wine. b. the English will drink more table quality wine, because transportation costs will raise the relative price of table quality wine to high-quality wine. c. the French will drink more of the high quality wine because transportation costs reduce demand for wine in England. d. the French will drink more of the high quality wine because the wine is produced there.
The ________ program was created in 1975 to provide rebates of Social Security taxes to low-income workers
A) food stamp B) SSI C) TANF D) EITC
The diagram concerns supply adjustments to an increase in demand (D1 to D2) in the immediate period, the short run, and the long run. Supply curves S1, S2, and S3 apply to the
Use the figure below to answer the following question.
A. short run, long run, and immediate period respectively.
B. long run, short run, and immediate period respectively.
C. immediate period, long run, and short run respectively.
D. immediate period, short run, and long run respectively.
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The economy is currently at Point A. The opportunity cost of moving from Point A to Point B is the
A. 30 LCD televisions that must be forgone to produce 60 additional OLED televisions. B. 90 LCD televisions that must be forgone to produce 20 additional OLED televisions. C. 30 LCD televisions that must be forgone to produce 20 additional OLED televisions. D. 120 LCD televisions that must be forgone to produce 40 additional OLED televisions.