Author Question: Stabilization policy is policy that seeks to A) get zero inflation. B) eliminate fluctuations. ... (Read 93 times)

tuffie

  • Hero Member
  • *****
  • Posts: 534
Stabilization policy is policy that seeks to
 
  A) get zero inflation.
  B) eliminate fluctuations.
  C) eradicate unemployment.
  D) maximize output.

Question 2

What fundamental problem does the New Keynesian model have, when compared to the data?
 
  A) Investment fluctuates more than consumption.
  B) The real wage moves too little.
  C) Aggregate output demand does not matter.
  D) Prices do not fluctuate in the right way.



meryzewe

  • Sr. Member
  • ****
  • Posts: 346
Answer to Question 1

B

Answer to Question 2

D



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Thyroid conditions may make getting pregnant impossible.

Did you know?

Pubic lice (crabs) are usually spread through sexual contact. You cannot catch them by using a public toilet.

Did you know?

The U.S. Pharmacopeia Medication Errors Reporting Program states that approximately 50% of all medication errors involve insulin.

Did you know?

Adolescents often feel clumsy during puberty because during this time of development, their hands and feet grow faster than their arms and legs do. The body is therefore out of proportion. One out of five adolescents actually experiences growing pains during this period.

Did you know?

Cutaneous mucormycosis is a rare fungal infection that has been fatal in at least 29% of cases, and in as many as 83% of cases, depending on the patient's health prior to infection. It has occurred often after natural disasters such as tornados, and early treatment is essential.

For a complete list of videos, visit our video library