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

Author Question: Which of the following is a possible consequence if a contractionary monetary policy is adopted? ... (Read 99 times)

dbose

  • Hero Member
  • *****
  • Posts: 597
on: Jun 30, 2018
Which of the following is a possible consequence if a contractionary monetary policy is adopted?
 
  A) The demand for labor will increase.
  B) The aggregate price level will rise.
  C) Real output will increase if nominal wages are fixed.
  D) Real wages will increase if nominal wages are fixed.

Question 2

In what sense is frictional unemployment good for the economy?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

nikmaaacs

  • Sr. Member
  • ****
  • Posts: 335
Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

Since frictional unemployment is the unemployment that exists so that workers and firms find the right matches, the economy needs some frictional unemployment to operate efficiently.


dbose

  • Member
  • Posts: 597
Reply 2 on: Jun 30, 2018
Wow, this really help

ecabral0

  • Member
  • Posts: 310
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

All patients with hyperparathyroidism will develop osteoporosis. The parathyroid glands maintain blood calcium within the normal range. All patients with this disease will continue to lose calcium from their bones every day, and there is no way to prevent the development of osteoporosis as a result.

Did you know?

There can actually be a 25-hour time difference between certain locations in the world. The International Date Line passes between the islands of Samoa and American Samoa. It is not a straight line, but "zig-zags" around various island chains. Therefore, Samoa and nearby islands have one date, while American Samoa and nearby islands are one day behind. Daylight saving time is used in some islands, but not in others—further shifting the hours out of sync with natural time.

Did you know?

Serum cholesterol testing in adults is recommended every 1 to 5 years. People with diabetes and a family history of high cholesterol should be tested even more frequently.

Did you know?

Ether was used widely for surgeries but became less popular because of its flammability and its tendency to cause vomiting. In England, it was quickly replaced by chloroform, but this agent caused many deaths and lost popularity.

Did you know?

Eat fiber! A diet high in fiber can help lower cholesterol levels by as much as 10%.

Environmental policy Environmental policy
The environmental policy changes over time The environmental policy changes over time
Scientific monitoring with environmental policy (SOER) Scientific monitoring with environmental policy (SOER)
Ecosystem goods and services and monetary values Ecosystem goods and services and monetary values
Government in America: People, Politics, and Policy, AP Government in America: People, Politics, and Policy, AP
The fiscal policy to counter an inflationary gap is a(n) The fiscal policy to counter an inflationary gap is a(n)
Video: Elementary kinetics

For a complete list of videos, visit our video library