Multiple Choice
New Keynesian Theory
A) specifies financial markets as the primary cause of business cycles.
B) includes microeconomic foundations and does not rely on sticky wages or prices.
C) relies on sticky wages and prices but does not include microeconomic foundations.
D) uses the same microeconomic foundations as other macro models.
E) specifies shocks to technology cause business cycles.
Correct Answer:
Verified
Correct Answer:
Verified
Q51: When a country has a current account
Q52: The response of monetary and fiscal policy
Q53: One consequence of government deficits is<br>A) lower
Q54: The recovery from the 2008-2009 recession<br>A) was
Q55: Neo-Fisherism says<br>A) the central bank should increase
Q57: Unemployment, at the aggregate level<br>A) is zero
Q58: The basic structure of a macroeconomic model
Q59: The real interest rate is<br>A) equal to
Q60: More government spending<br>A) can compete with private
Q61: The government surplus is the same as<br>A)