If the monthly unemployment rate increase mentioned in the Application was a temporary aberration, the best economic decision by the committee would be to
A) not change monetary policy.
B) increase the money supply to stimulate the economy.
C) decrease the money supply to stimulate the economy.
D) decrease the money supply to slow the economy down.
A
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To achieve long-run equilibrium in an economy with a recessionary gap, without the use of stabilization policy, the inflation rate must:
A. not change. B. increase. C. decrease. D. either increase or decrease depending on the relative shifts of AD and AS.
Given the data in the table below, what is the short-run profit-maximizing level of output for the perfectly competitive firm?OutputTotal RevenueTotal Cost1$4$228331264161052015
A. 2 units B. 3 units C. 4 units D. 5 units
A change in the price level ________ the AE curve and ________ the AD curve
A) results in a movement along; shifts B) shifts; results in a movement along C) shifts; shifts D) has no effect on; results in a movement along E) results in a movement along; results in a movement along
Provide two microeconomic statements and two macroeconomic statements. Classify your statements as positive or normative, and explain your classifications
What will be an ideal response?