Stagflation in an economy can be effectively controlled by Keynesian demand management policies

a. True
b. False
Indicate whether the statement is true or false


False

Economics

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Although an improvement in technology enables perfectly competitive firms to earn a positive economic profit in the short run, entry by new firms will ensure that those profits are eliminated over time

Indicate whether the statement is true or false

Economics

Activities that are directly included in GDP accounts include:

a. the value of housework done by householders. b. the selling of illegal drugs. c. unreported labor in sweatshops. d. buying a ticket to a Dodgers-Expos game on your day off.

Economics

The graphical device that illustrates the concept of scarce resources being efficiently utilized in the economy is a(n)

A. budget line. B. indifference curve. C. production possibilities frontier. D. marginal cost curve.

Economics

Stagflation can be defined as a situation characterized by

a. rising prices and rising output. b. rising prices and falling output. c. falling prices and falling output. d. falling prices and rising output.

Economics