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

Author Question: Under adaptive expectations theory, people persistently: a. underestimate inflation when it is ... (Read 94 times)

sjones

  • Hero Member
  • *****
  • Posts: 520
on: Jun 30, 2018
Under adaptive expectations theory, people persistently:
 a. underestimate inflation when it is slowing down.
  b. overestimate inflation when it is accelerating.
  c. underestimate inflation when it is accelerating.
  d. adapt to the prevailing inflation rate.

Question 2

Which of the following would understate the consumer price index?
 a. Substitution bias.
  b. Deteriorating quality of products.
  c. Improving quality of products.
  d. Law of demand bias.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

jasonq

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

c

Answer to Question 2

c


sjones

  • Member
  • Posts: 520
Reply 2 on: Jun 30, 2018
Wow, this really help

deja

  • Member
  • Posts: 332
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

Glaucoma is a leading cause of blindness. As of yet, there is no cure. Everyone is at risk, and there may be no warning signs. It is six to eight times more common in African Americans than in whites. The best and most effective way to detect glaucoma is to receive a dilated eye examination.

Did you know?

Everyone has one nostril that is larger than the other.

Did you know?

Elderly adults are at greatest risk of stroke and myocardial infarction and have the most to gain from prophylaxis. Patients ages 60 to 80 years with blood pressures above 160/90 mm Hg should benefit from antihypertensive treatment.

Did you know?

Vaccines prevent between 2.5 and 4 million deaths every year.

Did you know?

Women are two-thirds more likely than men to develop irritable bowel syndrome. This may be attributable to hormonal changes related to their menstrual cycles.

The Systems in Bronfenbrenner’s Ecological Theory The Systems in Bronfenbrenner’s Ecological Theory
Two areas of reduced cortical volume and one area of increased cortical volume observed in people ... Two areas of reduced cortical volume and one area of increased cortical volume observed in people ...
Trees provide ecosystem services to people Trees provide ecosystem services to people
People in poor, urban areas often find themselves in “food deserts" People in poor, urban areas often find themselves in “food deserts"
Marketing: Real People, Real Choices Marketing: Real People, Real Choices
Psychodynamic Theory Psychodynamic Theory
Video: Central Nervous System Animation

For a complete list of videos, visit our video library