Multiple Choice
Suppose Venezuela experiences economic expansion in 2013, yet its unemployment rate is 15 percent, and economists have estimated that the natural rate of unemployment in Venezuela is also approximately 15 percent. All else equal, if this is the case, what will tend to happen in the Venezuelan economy over time?
A) Wages and prices will fall.
B) Wages and prices will rise.
C) Wages will rise and prices will fall.
D) Wages and prices will remain close to their current levels.
Correct Answer:
Verified
Correct Answer:
Verified
Q1: The GDP for the nation of Economia
Q2: Wages and prices throughout an economy are
Q3: The short-run aggregate supply curve is relatively
Q4: Recall the Application about the links between
Q6: In the short run, increases in the
Q7: If the unemployment rate is _ the
Q8: Keynes expressed doubts that that the economy
Q9: If the economy is operating above full
Q10: Recall the Application about Fed Chairman Ben
Q11: Suppose an economy that has been operating