Author Question: In a dynamic economy under ideal conditions: a. the unemployment rate should be near zero. b. some ... (Read 59 times)

anjilletteb · **on:** Jun 30, 2018

In a dynamic economy under ideal conditions:
a. the unemployment rate should be near zero.
b. some unemployment would be present due to workers temporarily being out of work while changing jobs.
c. unemployment would tend to move upward slightly as prices increased.
d. unemployment would tend to move slightly downward as unemployment compensation benefits increased.

Question 2

Cost-push inflation is caused by supply shocks like higher oil prices and poor weather conditions.
a. True
b. False
Indicate whether the statement is true or false