Each of the Following Is Something That Economists Know About

Multiple Choice

Each of the following is something that economists know about business cycles, unemployment, and inflation in the long run except

A) that the market economy does tend to return to a position of near-full employment in the long run.
B) that markets for goods and labor don't always reach something like a supply-and-demand equilibrium.
C) that shifts in government spending will crowd out (or crowd in) consumption and investment.
D) that shortfalls of national saving or booms in investment will bring inflows of capital and the trade . deficits needed to finance them.