Question 1

An argument in support of hysteresis is

Accepted Answer

A)  companies may be reluctant to hire workers until AD increases. 
B)  prices are sticky in the short run. 
C)  the skills of unemployed workers may deteriorate making it more difficult to find a job. 
D)  overlapping wage contracts. 
A)  companies may be reluctant to hire workers until AD increases. 
B)  prices are sticky in the short run. 
C)  the skills of unemployed workers may deteriorate making it more difficult to find a job. 
D)  overlapping wage contracts.

Question 2

Economists generally agree that in the long run,changes in aggregate demand affect

Accepted Answer

A)  aggregate output but not the price level. 
B)  the price level but not aggregate output. 
C)  both the price level and aggregate output. 
D)  neither the price level nor aggregate output. 
A)  aggregate output but not the price level. 
B)  the price level but not aggregate output. 
C)  both the price level and aggregate output. 
D)  neither the price level nor aggregate output.

Question 3

Which of the following statements is correct?

Accepted Answer

A)  New classicals believe that the aggregate supply curve is a vertical line in both the short run and the long run. 
B)  Both new classicals and new Keynesians believe that the aggregate supply curve is vertical in the long run. 
C)  New Keynesians believe that the aggregate supply curve is vertical in the short run but not in the long run. 
D)  New Keynesians believe that the aggregate supply curve slopes upward in the long run. 
A)  New classicals believe that the aggregate supply curve is a vertical line in both the short run and the long run. 
B)  Both new classicals and new Keynesians believe that the aggregate supply curve is vertical in the long run. 
C)  New Keynesians believe that the aggregate supply curve is vertical in the short run but not in the long run. 
D)  New Keynesians believe that the aggregate supply curve slopes upward in the long run.

An argument in support of hysteresis is

Economists generally agree that in the long run,changes in aggregate demand affect

Which of the following statements is correct?

Introducing Money and the Financial System

Money and the Payments System

Interest Rates and Rates of Return

Determining Interest Rates

The Risk Structure and Term Structure of Interest Rates

The Stock Market, information, and Financial Market Efficiency

Derivatives and Derivative Markets

The Market for Foreign Exchange

Transactions Costs, asymmetric Information, and the Structure of the Financial System

The Economics of Banking

Beyond Commercial Banks: Shadow Banks and Nonbank Financial Institutions

Financial Crises and Financial Regulation

The Federal Reserve and Central Banking

The Federal Reserves Balance Sheet and the Money Supply Process

Monetary Policy

The International Financial System and Monetary Policy

Monetary Theory Ii: the Is-Mp Model

Filters

Exam 17: Monetary Theory I- the Aggregate Demand and Aggregate Supply Model

An argument in support of hysteresis is

Economists generally agree that in the long run,changes in aggregate demand affect

Which of the following statements is correct?

Introducing Money and the Financial System

Money and the Payments System

Interest Rates and Rates of Return

Determining Interest Rates

The Risk Structure and Term Structure of Interest Rates

The Stock Market, information, and Financial Market Efficiency

Derivatives and Derivative Markets

The Market for Foreign Exchange

Transactions Costs, asymmetric Information, and the Structure of the Financial System

The Economics of Banking

Beyond Commercial Banks: Shadow Banks and Nonbank Financial Institutions

Financial Crises and Financial Regulation

The Federal Reserve and Central Banking

The Federal Reserves Balance Sheet and the Money Supply Process

Monetary Policy

The International Financial System and Monetary Policy

Monetary Theory Ii: the Is-Mp Model

Filters