Multiple Choice
Most economists believe that classical economic theory is a good description of the world:
A) in the short run, but not in the long run
B) in the long run, but not in the short run
C) in the short run and in the long run
D) in the nineteenth century, but not in the twentieth century
Correct Answer:

Verified
Correct Answer:
Verified
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Q53: The downward slope of the aggregate-demand curve
Q54: The Keynesian sticky-wage theory states that in
Q55: A decrease in aggregate expenditure shifts the
Q56: Mundell-Fleming's effect implies that a currency depreciation:<br>A)increases
Q58: In a recession, real GDP falls and:<br>A)unemployment
Q59: When factors (other than price level) that
Q60: If people's expectations about future price levels
Q61: According to the new classical misperceptions theory,
Q62: The new Keynesian sticky-price theory states that