Multiple Choice
What is classical dichotomy?
A) It is the separation of variables that move with the business cycle and variables that do not.
B) It is the separation of changes in money and changes in government expenditures.
C) It is the separation of endogenous and exogenous variables.
D) It is the separation of real and nominal variables.
Correct Answer:

Verified
Correct Answer:
Verified
Q93: When output rises, unemployment falls.
Q160: A decrease in the price level makes
Q184: What was the main reason for the
Q185: All explanations for the upward slope of
Q186: According to the misperceptions theory of the
Q187: What would cause prices to fall and
Q188: What has NOT been suggested as a
Q192: According to the classical view in economics,
Q193: What were the changes in output in
Q194: What does the downward slope of the