Multiple Choice
New classical economics suggests that in the long-run, changes in aggregate demand will cause
A) only short-run changes in output and employment.
B) long-run changes in output and employment.
C) only short-run changes in the price level.
D) no change in output and employment.
Correct Answer:

Verified
Correct Answer:
Verified
Q269: Mainstream economists favor<br>A) the use of discretionary
Q270: Monetarists and rational expectations theorists both favor
Q271: If nominal GDP is $848 billion and
Q272: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB34225555/.jpg" alt=" Refer to the
Q273: Which of the following ideas of the
Q275: The equation of exchange suggests that, if
Q276: According to real-business-cycle theory, recessions are caused
Q277: Does velocity change in response to changes
Q278: (Last Word) Discuss the use of prediction
Q279: Mainstream macroeconomists see two main sources of