This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: In the long run, an economy will produce its potential output if: a. workers mistakenly believe ... (Read 38 times)

big1devin

  • Hero Member
  • *****
  • Posts: 583
on: Jun 30, 2018
In the long run, an economy will produce its potential output if:
 a. workers mistakenly believe that nominal wages equal real wages.
 b. the expectations of workers and firms are the same in the long and short run.
  c. wages and prices are sufficiently flexible.
 d. the price level is high.
 e. the price level is low.

Question 2

Monetary policy will be effective in changing the gross domestic product of a nation only if:
 a. planned investment expenditures are autonomous.
 b. planned investment expenditures are sensitive to interest rates.
  c. interest rates are unresponsive to changes in money supply.
  d. interest rates are sensitive to changes in the price level.
 e. planned investment expenditures are sensitive to interest rates.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Carissamariew

  • Sr. Member
  • ****
  • Posts: 359
Reply #1 on: Jun 30, 2018
Answer to Question 1

c

Answer to Question 2

b


big1devin

  • Hero Member
  • *****
  • Posts: 583
Reply #2 on: Jun 30, 2018
Thank you :)


Carissamariew

  • Sr. Member
  • ****
  • Posts: 359
Reply #3 on: Jun 30, 2018
Happy to help you


« previous next »
 

Did you know?

When Gabriel Fahrenheit invented the first mercury thermometer, he called "zero degrees" the lowest temperature he was able to attain with a mixture of ice and salt. For the upper point of his scale, he used 96°, which he measured as normal human body temperature (we know it to be 98.6° today because of more accurate thermometers).

Did you know?

The tallest man ever known was Robert Wadlow, an American, who reached the height of 8 feet 11 inches. He died at age 26 years from an infection caused by the immense weight of his body (491 pounds) and the stress on his leg bones and muscles.

Did you know?

The Food and Drug Administration has approved Risperdal, an adult antipsychotic drug, for the symptomatic treatment of irritability in children and adolescents with autism. The approval is the first for the use of a drug to treat behaviors associated with autism in children. These behaviors are included under the general heading of irritability and include aggression, deliberate self-injury, and temper tantrums.

Did you know?

Barbituric acid, the base material of barbiturates, was first synthesized in 1863 by Adolph von Bayer. His company later went on to synthesize aspirin for the first time, and Bayer aspirin is still a popular brand today.

Did you know?

According to animal studies, the typical American diet is damaging to the liver and may result in allergies, low energy, digestive problems, and a lack of ability to detoxify harmful substances.

the comet Encke riding along its pebbly trail of debris (long diagonal line) between the orbits of M the comet Encke riding along its pebbly trail of debris (long diagonal line) between the orbits of M
Durkheim believed that modern societies produce feelings of isolation, much of which come from the ... Durkheim believed that modern societies produce feelings of isolation, much of which come from the ...
A cutaway of a typical water pump showing the long bearing assembly and the seal. The weep hole is ... A cutaway of a typical water pump showing the long bearing assembly and the seal. The weep hole is ...
Synaptic transmission. (a) Action potential reaches synapse; (b) neurotransmitter released synaptic ... Synaptic transmission. (a) Action potential reaches synapse; (b) neurotransmitter released synaptic ...
Types of Long-Term Memories Types of Long-Term Memories
In the figure, a 10.0-m long bar is attached by a frictionless hinge to a wall and held ... In the figure, a 10.0-m long bar is attached by a frictionless hinge to a wall and held ...
Video: ADH and the arterioles, kidneys, sweat glands and the Atrial natriuretic peptide (ANP)

For a complete list of videos, visit our video library