Author Question: Critics of the extreme rational expectations theory argue that wages and input prices do not adjust ... (Read 89 times)

Pea0909berry · **on:** Jun 30, 2018

Critics of the extreme rational expectations theory argue that wages and input prices do not adjust instantaneously.
a. True
b. False
Indicate whether the statement is true or false

Question 2

The Taiwanese government allows tax credits for domestic producers who compete with manufacturers in First World nations. This suggests that Taiwan engages in _____.
a. trade protectionism
b. export substitution
c. foreign exchange market intervention
d. import substitution
e. voluntary export restrictions