« previous next »

Author Question: According to the theory of rational expectations, expansionary fiscal policy that is anticipated ... (Read 73 times)

folubunmi

  • Hero Member
  • *****
  • Posts: 524
on: Jun 30, 2018
According to the theory of rational expectations, expansionary fiscal policy that is anticipated will:
 a. cause wage expectations to adjust downward immediately following the lower price level.
  b. increase the real wage rate in the long run.
  c. cause a permanent decline in the natural rate of unemployment.
  d. decrease the real wage rate in the long run.
  e. cause wage expectations to adjust upward immediately following the higher price level.

Question 2

Using the midpoint method for calculating the price elasticity of demand, you get the same elasticity of demand between two points, whether you are moving up the demand curve or down it.
 a. True
  b. False
  Indicate whether the statement is true or false


ricroger

  • Sr. Member
  • ****
  • Posts: 352
Reply #1 on: Jun 30, 2018
Answer to Question 1

e

Answer to Question 2

True


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

folubunmi

  • Hero Member
  • *****
  • Posts: 524
Reply #2 on: Jun 30, 2018
Thank you


ricroger

  • Sr. Member
  • ****
  • Posts: 352
Reply #3 on: Jun 30, 2018
No problemo


« previous next »
 

Did you know?

HIV testing reach is still limited. An estimated 40% of people with HIV (more than 14 million) remain undiagnosed and do not know their infection status.

Did you know?

Every flu season is different, and even healthy people can get extremely sick from the flu, as well as spread it to others. The flu season can begin as early as October and last as late as May. Every person over six months of age should get an annual flu vaccine. The vaccine cannot cause you to get influenza, but in some seasons, may not be completely able to prevent you from acquiring influenza due to changes in causative viruses. The viruses in the flu shot are killed—there is no way they can give you the flu. Minor side effects include soreness, redness, or swelling where the shot was given. It is possible to develop a slight fever, and body aches, but these are simply signs that the body is responding to the vaccine and making itself ready to fight off the influenza virus should you come in contact with it.

Did you know?

The cure for trichomoniasis is easy as long as the patient does not drink alcoholic beverages for 24 hours. Just a single dose of medication is needed to rid the body of the disease. However, without proper precautions, an individual may contract the disease repeatedly. In fact, most people develop trichomoniasis again within three months of their last treatment.

Did you know?

There are 60,000 miles of blood vessels in every adult human.

Did you know?

Your skin wrinkles if you stay in the bathtub a long time because the outermost layer of skin (which consists of dead keratin) swells when it absorbs water. It is tightly attached to the skin below it, so it compensates for the increased area by wrinkling. This happens to the hands and feet because they have the thickest layer of dead keratin cells.

Richard Wrangham’s “female-bonded” theory of intergroup competition was highly influential in our un Richard Wrangham’s “female-bonded” theory of intergroup competition was highly influential in our un
Generally, the total tax burden in the United States is much lower than that of other industrialize Generally, the total tax burden in the United States is much lower than that of other industrialize
Gate control theory. A. open gate, B. closed gate Gate control theory. A. open gate, B. closed gate
Government in America: People, Politics, and Policy, AP Government in America: People, Politics, and Policy, AP
Psychodynamic Theory Psychodynamic Theory
Key foreign policy agencies Key foreign policy agencies
Video: Phases of mitosis

For a complete list of videos, visit our video library