One of the factors in the economic downturn of the 1970s was O A. deflation O B. the velvet revolution O C increased oil prices O D. the Euro
Q: Suppose there's an unanticipated increase in the rate of inflation. Which of the following is likely…
A: Inflation refers to an increase in the price of the goods and service in the economy. If there is a…
Q: If the Fed increases interest rates, other things remaining the same, foreigners demand dollars,…
A: Currency's demand and supply market is called the foreign exchange market, and The price of a…
Q: Which of the following is (are) CORRECT? O a. Unanticipated inflation benefits borrowers O b. The…
A: In US , The NAIRU or natural rate of unemployment is the lowest unemployment rate that can be…
Q: Higher inflation Select one: O a. causes firms to change prices less frequently and makes relative…
A: * ANSWER :- *The OPTION B is correct answer * Explanation :-
Q: Peter thinks that low interest rates hurt the economy. Mary disagrees and says that low interest…
A: Interest rate is the total amount charged by the lender for lending an amount of money for a given…
Q: Which of the following group would be happy if Japanese yen appreciates against the U.S. dollar? O…
A: Note: In the BNED Guidance, only the first question can be answered at a time. Resend the question…
Q: Which of the following are examples of monetary policy that decrease aggregate demand? O A. a…
A: Aggregate demand is a term used in economics to describe the total amount of demand for all finished…
Q: A candidate for political office announces the following policies which, she says, economics clearly…
A: Long run aggregate supply curve is vertical, showing that in long run, there is no relation between…
Q: Suppose that for a given year money growth is 3 percent, real GDP growth is 1 percent, and the…
A: Growth rate of money supply=3%Growth rate of real GDP=1%Growth rate of inflation=2%
Q: exchange example Select one: O a. a quantity restriction in a market. O b. a price control. O c. a…
A: A fixed exchange rate refers to a system in which the value of a currency is constant or pegged to…
Q: How can a stagflation turn into a cost-push inflation process? A stagflation can turn into a…
A: Stagflation occurs when the govt or central banks expand the cash supply at the identical time they…
Q: What determines a country's long run average Inflation rate? Select one: O a. The rate of inflation…
A: In an economy, the functioning and the importance of economic variables changes in the long-run, as…
Q: Bob is laid off his job because of a recession. A. seasonal B. frictional O C. structural O D.…
A: Unemployment is a term referring to individuals who are employable and actively seeking a job but…
Q: If people in the economy expect inflation to be 6 percent but inflation turns out to be 3 percent,…
A: Phillips curve is relationship between the rate of unemployment and the rate of inflation that…
Q: If the NAIRU was 10% and the actual unemployment rate was 9%, we would conclude that O A. the…
A: Unemployment refers to the state of being without a job while actively seeking employment. It's a…
Q: is a positive statement? of 7 percent is too high. ent rate of 7 percent or higher is a national…
A: Positive and normative analysis are two branches of economics. Positive analysis focuses on “what…
Q: supply creates its own demand.
A: Answer Classical economists believe that the market is usually straightforward due to the value…
Q: Shipping costs have increased dramatically in the past few months. This is a and tends to O negative…
A: The answer is Option 1 - negative supply shock, increases price Therefore, Shipping costs have…
Q: Which of the following best describes inflation? O a. Economic growth. O b. An increase only in the…
A: The cost of nearly all goods and services in the economy is rising, which is referred to as…
Q: between the U.S. dollar and the Polish zloty is the number of dollars required to buy a single…
A: The _ between the U.S dollar and the polish zloty is the number of dollars required to buy a single…
Q: what are the ways of international community to combat the problems associated with these issues
A: ANSWER In order to eradicate poverty and hunger, a number of international organizations work…
Q: How do an increase in the exchange rate and an increase in expected future income change aggregate…
A: An exchange rate is the rate at which one currency can be exchanged for another currency. It…
Q: If the Fed tries to prevent the U.S. dollar exchange rate from rising, the Fed U.S. dollars, foreign…
A: In the United States, US government can influence the exchange rate by making changes in the supply…
Q: Refer to the Figure 16-1. If the economy starts at c and 1, then in the short run, where does a…
A: Money supply:The money supply is the total money that is circulated in an economy. The central bank…
Q: Everything else held constant a change in workers' expectations about inflation will cause to…
A: If workers expect future inflation, they are more likely to bargain for higher wages to compensate…
Q: A C Inflation rate, n' Inflation Inflation 4.5 4 3.5 3 2.5 2 1 2 VPC 6 Select one or more: O Chart A…
A: Demand shocks and inflation rate: A demand shock signifies such events that cause a sudden decline…
Q: QUESTION 2 Other things the same, when the price level rises, interest rates O a. fall, which means…
A: When the price level rises, the consumer purchasing power falls and consumer can buy less with same…
Q: An increase in expected inflation will OA decrease the natural rate of unempioyment OB. shift the…
A: The Phillips curve shows how inflation and unemployment rates are related. In the long term, the…
Q: Which of the following events would most likely result in inflation? O A shift from D2 to D₁ in…
A: The rate at which prices for goods and services generally increase and, as a result, buying power…
Q: If Americans want to go to Rio to see the Olympics, which of the following would be NOT be true O…
A: In reference to another currency, the exchange rate represents the worth of one currency. It is the…
Q: Higher inflation makes relative prices Select one: O a. less variable, making it more likely that…
A: Inflation refers to rise in general price level of goods and services. Due to inflation, the…
Q: Which is NOT neutral in the long run? O output O aggregate demand O money O real interest rates
A: The long run is a period of time during which all production and cost parameters are variable. Firms…
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A: Business Cycle expansion phase is the period of time of economic growth where the employment level…
Q: During periods of volatile inflation, there is O a. certainty about the price of one good relative…
A: Inflation is the situation where there is a continuous rise in prices. The general price level of…
Q: 3. There is a group of economists who argue that the US should return to what’s called a “gold…
A: According to guidelines, first 3 sub parts have to be answered. Gold is a hedge against inflation.…
Q: Keynesians: O a. accept the fact that policymakers should eliminate inflation first before focusing…
A: The postwar period shows how Keynesianism has progressed in terms of its ability to alleviate…
Q: Suppose that the aggregate price level in Country X's economy decreases. Which of the following is…
A: Aggregate demand is the sum of consumption, investment, government spending and net export. The AD…
Q: V 1st attempt Assume that people in the economy have adaptive expectations. If the inflation rate…
A: Unemployment rate: - it is the percentage of people out of the total labor force who are able and…
Q: A C Inflation rate, π¹ Inflation Inflation 4.5 4 3.5 3 2.5 2 1 2 3 Select one or more: O Chart A…
A: Positive Demand Shock in the economy refers to a sudden surge in demand for goods and services int…
Q: Other things the same, an increase in the price level makes the dollars people hold worth? a. more,…
A: Lets analyze the question.
Q: vorkers and firms agree on an increase in wages based on their expectations of inflation and…
A: When the workers and firms agree on an increase in wages based on their expectations of inflation…
Q: Explain whether the followinjl; statements are true,false, or uncertain.a. "Inflation hurts…
A: In an economy, an inflation rate defines the change in the general market value or price level over…
Q: The quality change bias is most likely to put The quality change bias is most likely to put into the…
A: CPI or the Consumer Price Index helps measure the average change in price of a fixed basket of goods…
Q: Which of the following would impose the greatest costs to society? O a. stable rates of inflation O…
A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…
Q: Choose the statement that about deflation that is incorrect. O A. The price level falls if aggregate…
A: Inflation happens with an increment in the prices of products and services, generally because of an…
Q: b. Generalizing from the computer market specifically to the economy as a whole, what will happen…
A: Negative demand shock means the shocks which shift the demand curve to the left.
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