Multiple Choice
The equilibrium effects of a prospective future increase in total factor productivity include
A) a decrease in the real wage only.
B) a decrease in the real wage and a decrease in the real interest rate.
C) an increase in the real wage and a decrease in the real interest rate.
D) a decrease in the real wage and an increase in the real interest rate.
E) an increase in the real wage and an increase in the real interest rate.
Correct Answer:
Verified
Correct Answer:
Verified
Q20: The output demand curve shows the<br>A)positive relationship
Q21: The total government expenditure multiplier is<br>A)
Q22: When drawn against the real interest rate,
Q23: The marginal benefit from investment for
Q24: The destruction of capital<br>A)may increase employment enough
Q26: An individual stock price<br>A)determines the future performance
Q27: The output supply curve is the relationship
Q28: When drawn against the real interest rate,
Q29: The assumption that current-period consumption demand is
Q30: The marginal rate of substitution of future