Multiple Choice
Which of the following is consistent with the supply-side theories?
A) When there is a recession, the Bank of Canada should decrease the money supply.
B) A shift in aggregate supply leads to a permanent increase in the natural rate of output.
C) The government should periodically increase the minimum wage and unemployment insurance benefits.
D) Aggregate demand does not shift in the short run.
Correct Answer:

Verified
Correct Answer:
Verified
Q9: As the MPC gets close to 1,
Q55: Why and in what way are fiscal
Q68: According to supply-side theories, which of the
Q71: According to liquidity preference theory, how are
Q75: Suppose that the MPC is 0.50 and
Q77: Why do people primarily own or hold
Q78: Which of the following is NOT a
Q83: Which of the following best defines the
Q103: If a central bank targets the interest
Q109: According to the crowding-out effect, how does