Multiple Choice
Which of the following will always be true when an economy is in long-run equilibrium?
A) The level of prices will be constant (that is, inflation will be zero) .
B) Actual output will exceed the potential output.
C) The actual rate of unemployment will be less than the natural rate of unemployment.
D) The output of the economy will correspond with the full-employment output.
Correct Answer:
Verified
Correct Answer:
Verified
Q122: When the actual rate of unemployment is
Q123: If there is a surplus of loanable
Q124: The nominal (money) rate of interest<br>A) is
Q125: Use the figure below to answer the
Q126: You just bought a $1,000 bond that
Q128: In the short run, if prices were
Q129: The "loanable funds market" is a term
Q130: If net exports are positive, then<br>A) net
Q131: If a nation's currency depreciates, this will
Q132: Long-run equilibrium in the goods and services