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

Author Question: According to the rational expectations school, people base their expectations about inflation on: ... (Read 75 times)

nramada

  • Hero Member
  • *****
  • Posts: 580
on: Jun 30, 2018
According to the rational expectations school, people base their expectations about inflation on:
 a. the announcement of a change in policy.
 b. weighted averages of previous inflation rates, with the most distant getting the heaviest weight.
  c. all information available to them.
 d. changes in monetary policy only.
 e. changes in both monetary and fiscal policy.

Question 2

Which of the following is an outcome of prolonged unemployment?
 a. An improvement in labor skills
 b. An increase in the inflation rate
 c. A rise in potential GDP
 d. A fall in potential GDP
 e. An increase in the size of the labor force


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

jonathanballen97

  • Sr. Member
  • ****
  • Posts: 347
Reply #1 on: Jun 30, 2018
Answer to Question 1

c

Answer to Question 2

d


nramada

  • Member
  • Posts: 580
Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

samiel-sayed

  • Member
  • Posts: 337
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Not getting enough sleep can greatly weaken the immune system. Lack of sleep makes you more likely to catch a cold, or more difficult to fight off an infection.

Did you know?

Medications that are definitely not safe to take when breastfeeding include radioactive drugs, antimetabolites, some cancer (chemotherapy) agents, bromocriptine, ergotamine, methotrexate, and cyclosporine.

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

Did you know?

Thyroid conditions cause a higher risk of fibromyalgia and chronic fatigue syndrome.

Did you know?

Calcitonin is a naturally occurring hormone. In women who are at least 5 years beyond menopause, it slows bone loss and increases spinal bone density.

What emotions are these people expressing? Are these emotions global? Is their way of expressing ... What emotions are these people expressing? Are these emotions global? Is their way of expressing ...
Children with autism generally prefer interacting with objects over people. Children with autism generally prefer interacting with objects over people.
Some people have begun to “attend” church as avatars. Some people have begun to “attend” church as avatars.
Despite the globe’s vast social change, people all over the world continue to make race a ... Despite the globe’s vast social change, people all over the world continue to make race a ...
How to solve exponential equations with base e How to solve exponential equations with base e
Pathway of base excision repair Pathway of base excision repair
Video: Smoking Cessation

For a complete list of videos, visit our video library