If the real value of an item bought ten years ago is less than it's nominal value at that time, what can one infer about the change in the overall price level during this ten year period?
One can infer that there has been a decrease in the overall price level (deflation).
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The country of Southland produced $2,000 billion of output in one year. The population of Southland was 100 million, of whom 60 million were employed. What was average labor productivity in Southland?
A. $20 B. $33 C. $33,333 D. $20,000
A price cut will increase the revenue a firm receives if the demand for its product is
A. elastic. B. inelastic. C. unit elastic. D. straight elastic.
In the Keynesian model, to understand the determination of income and employment it is necessary to understand
A) how aggregate supply is determined. B) how aggregate demand is determined. C) how long-run aggregate supply is determined. D) how interest rates are determined.
The short-run Phillips curve portrays a(n):
a. direct relationship between total employment and the inflation rate b. inverse relationship between inflation and total employment. c. direct relationship between the unemployment rate and the inflation rate. d. inverse relationship between the unemployment rate and the inflation rate. e. inverse relationship between the price level and the unemployment rate.