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 69 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?

Nearly all drugs pass into human breast milk. How often a drug is taken influences the amount of drug that will pass into the milk. Medications taken 30 to 60 minutes before breastfeeding are likely to be at peak blood levels when the baby is nursing.

Did you know?

The shortest mature adult human of whom there is independent evidence was Gul Mohammed in India. In 1990, he was measured in New Delhi and stood 22.5 inches tall.

Did you know?

Blood is approximately twice as thick as water because of the cells and other components found in it.

Did you know?

Immunoglobulin injections may give short-term protection against, or reduce severity of certain diseases. They help people who have an inherited problem making their own antibodies, or those who are having certain types of cancer treatments.

Did you know?

As many as 20% of Americans have been infected by the fungus known as Histoplasmosis. While most people are asymptomatic or only have slight symptoms, infection can progress to a rapid and potentially fatal superinfection.

A single crossover cannot produce a viable recombinant A single crossover cannot produce a viable recombinant
During the Pullman strike in Chicago, workers protesting wage cuts did $340,000 in property damage, During the Pullman strike in Chicago, workers protesting wage cuts did $340,000 in property damage,
Apply long effleurage stroke to entire arm-hand to shoulder. Brush off from shoulder to hand to ... Apply long effleurage stroke to entire arm-hand to shoulder. Brush off from shoulder to hand to ...
Resting Membrane Potential: Voltage Difference Resting Membrane Potential: Voltage Difference
Propagation of an action potential Propagation of an action potential
Video: Immune responses Animation

For a complete list of videos, visit our video library