Multiple Choice
Which feature of the business cycle does the one-period model replicate with shocks to government expenditures?
A) procyclical employment
B) procyclical consumption
C) procyclical real wages
D) countercyclical prices
Correct Answer:

Verified
Correct Answer:
Verified
Q6: An increase in total factor productivity<br>A) increases
Q7: The Laffer curve is a curve showing<br>A)
Q8: A one-unit increase in government expenditures should,according
Q9: A competitive equilibrium is Pareto optimal if
Q10: A competitive equilibrium has all of the
Q12: Fiscal policy refers to a government's choices
Q13: In the model of public goods<br>A) government
Q14: The production possibilities frontier represents<br>A) all combinations
Q15: In response to an increase in total
Q16: Suppose total factor productivity increases. Which of