This topic contains a solution. Click here to go to the answer

Author Question: Which of the following represents the domestic demand for goods? A) C + I + G B) C + I + G + X ... (Read 63 times)

robinn137

  • Hero Member
  • *****
  • Posts: 544
Which of the following represents the domestic demand for goods?
 
  A) C + I + G
  B) C + I + G + X
  C) C + I + G - IM/
  D) C + I + G + X - M/
  E) C + I + G + X + IM

Question 2

During which decade did the original Phillips curve break down? Also, briefly explain why the original Phillips curve broke during this period.
 
  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

dreamfighter72

  • Sr. Member
  • ****
  • Posts: 355
Answer to Question 1

A

Answer to Question 2

The original Phillips curve broke down in the United States in the 1970s. First, the United States was affected by oil shocks that would cause an increase in both inflation and the unemployment rate. Second, individuals changed the way they formed expectations of prices. Rather than assume that this year's price level would be equal to last year's price level (i.e., zero expected inflation), individuals started to assume that previous inflation would persist.





 

Did you know?

Approximately 500,000 babies are born each year in the United States to teenage mothers.

Did you know?

Acetaminophen (Tylenol) in overdose can seriously damage the liver. It should never be taken by people who use alcohol heavily; it can result in severe liver damage and even a condition requiring a liver transplant.

Did you know?

Bisphosphonates were first developed in the nineteenth century. They were first investigated for use in disorders of bone metabolism in the 1960s. They are now used clinically for the treatment of osteoporosis, Paget's disease, bone metastasis, multiple myeloma, and other conditions that feature bone fragility.

Did you know?

The average older adult in the United States takes five prescription drugs per day. Half of these drugs contain a sedative. Alcohol should therefore be avoided by most senior citizens because of the dangerous interactions between alcohol and sedatives.

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.

For a complete list of videos, visit our video library