The new classical interpretation of the economy suggests that
A) output is always above the natural level.
B) output is always below the natural level.
C) output is always equal to the natural level.
D) recessions will not occur.
C
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Based on the theory of purchasing power parity, in the long run, currencies of countries with significant inflation will tend to:
A. be flexible. B. appreciate. C. have nominal exchange rates. D. depreciate.
"The internationalization of banking has weakened national safeguards against banking collapse, but at the same time it has made the need for effective safeguards more urgent." Discuss
What will be an ideal response?
A productivity increase is illustrated by a shift in the production function
a. downward. b. leftward. c. upward. d. rightward.
Tax cuts on business income ________ aggregate demand
A) would decrease B) would increase C) would not change D) may increase or decrease