Multiple Choice
The argument that when policy changes,people's behavior changes so that historical relationships between macroeconomic variables will no longer hold is known as
A) the Phillips curve.
B) the policy irrelevance hypothesis.
C) hysteresis.
D) the Lucas critique.
Correct Answer:
Verified
Correct Answer:
Verified
Q2: A difficulty faced by policymakers who wish
Q3: Countries in which the government does not
Q4: If a rapid disinflation has a lower
Q5: The negative relationship between unemployment and inflation
Q6: Suppose expected inflation in the economy is
Q8: The origin of the idea of a
Q9: Describe the major costs of inflation,being sure
Q10: In the expectations-augmented Phillips curve,π =
Q11: One cost of an unanticipated inflation is
Q12: A COLA is<br>A)a center of labor activity.<br>B)a