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

Author Question: The natural rate of output is ________. A) independent of the inflation rate B) always lower ... (Read 114 times)

Bernana

  • Hero Member
  • *****
  • Posts: 530
on: Jun 30, 2018
The natural rate of output is ________.
 
  A) independent of the inflation rate
  B) always lower than potential output
  C) unrelated to the natural rate of unemployment
  D) all of the above
  E) none of the above

Question 2

Is there a positive or negative relationship between real wages and output in the classical model? Explain.
 
  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

nanny

  • Sr. Member
  • ****
  • Posts: 313
Reply #1 on: Jun 30, 2018
Answer to Question 1

A

Answer to Question 2

The answer depends upon whether labor supply or labor demand is shifting. If an increase in output is caused by an increase in labor supply, then there is a negative relationship between real wages and output. If an increase in labor demand causes the increase in output, then real wages and output are positively related.


Bernana

  • Member
  • Posts: 530
Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

lindahyatt42

  • Member
  • Posts: 322
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

In 1885, the Lloyd Manufacturing Company of Albany, New York, promoted and sold "Cocaine Toothache Drops" at 15 cents per bottle! In 1914, the Harrison Narcotic Act brought the sale and distribution of this drug under federal control.

Did you know?

About 3.2 billion people, nearly half the world population, are at risk for malaria. In 2015, there are about 214 million malaria cases and an estimated 438,000 malaria deaths.

Did you know?

Drug-induced pharmacodynamic effects manifested in older adults include drug-induced renal toxicity, which can be a major factor when these adults are experiencing other kidney problems.

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?

Most women experience menopause in their 50s. However, in 1994, an Italian woman gave birth to a baby boy when she was 61 years old.

Dentition of a collared peccary, as illustrated in Knight's Sketches in Natural History Dentition of a collared peccary, as illustrated in Knight's Sketches in Natural History
Uranus's southern hemisphere in approximate natural colour (left) and in shorter wavelengths (r Uranus's southern hemisphere in approximate natural colour (left) and in shorter wavelengths (r
Influence of substrate concentration on the rate of an enzyme-catalyzed reaction. Influence of substrate concentration on the rate of an enzyme-catalyzed reaction.
Low (or No) Natural Growth Low (or No) Natural Growth
Effleurage to transition to lower leg-distal to proximal. Apply effleurage with moderate pressure to ... Effleurage to transition to lower leg-distal to proximal. Apply effleurage with moderate pressure to ...
Consider the production function ( ) 0.5 0.5 Y = AK L . Suppose both saving rate (s) and the ... Consider the production function ( ) 0.5 0.5 Y = AK L . Suppose both saving rate (s) and the ...
Video: Glycolysis Animation

For a complete list of videos, visit our video library