Author Question: Those who favor passive policy making do so because they conclude that A) price and wage ... (Read 37 times)

sammy · **on:** Jun 30, 2018

Those who favor passive policy making do so because they conclude that

A) price and wage flexibility is a common and speedy occurrence.
B) there is a stable trade-off between inflation and unemployment in the short run.
C) price and wage flexibility is an uncommon occurrence.
D) pure competition is not typical in most markets.

Question 2

Keynes referred to the sharp, often irrational, changes in the outlook of investors as the ________ of investors.

A) primal needs B) crowd psychology C) animal spirits D) chaotic behavior