When the actual unemployment rate is greater than the NAIRU, the inflation rate
A) remains unchanged. B) tends to increase.
C) falls to zero. D) tends to decrease.
D
You might also like to view...
Which of the following should be expected if the tax for a certain good increases?
A. price of the good increases. B. the composition of the commodity bundle is distorted. C. the budget line pivots out. D. the composition of the commodity bundle is distorted and the price of the good increases.
Which of the following is not consistent with perfect competition?
a. all firms face the same costs. b. firms cannot determine the price of the goods they sell. c. the marginal product of labor is diminishing. d. firms negotiate the same wages for different workers.
Goods that are produced in other countries and then sold domestically are called
A) exports. B) imports. C) tariffs. D) quotas.
An uninsurable risk is one
a. where everyone wishes to bet on the same outcome. b. in which information is asymmetrically distributed. c. for which the odds of an event's occurrence cannot be accurately estimated. d. that cannot be diversified.