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Which of the Following Scenarios Best Describes the Short-Run Model

Question 103

Multiple Choice

Which of the following scenarios best describes the short-run model?


A) RtitItY~tΔπtR _ { t } \uparrow \Rightarrow i _ { t } \uparrow \Rightarrow I _ { t } \downarrow \Rightarrow \tilde { Y } t \uparrow \Rightarrow \Delta \pi _ { t } \downarrow
B) itRtItY~tΔπti _ { t } \uparrow \Rightarrow R _ { t } \uparrow \Rightarrow I _ { t } \uparrow \Rightarrow \tilde { Y } t \uparrow \Rightarrow \Delta \pi _ { t } \uparrow
C) GtItY~tΔπtG _ { t } \uparrow \Rightarrow I _ { t } \downarrow \Rightarrow \tilde { Y } _ { t } \uparrow \Rightarrow \Delta \pi _ { t } \downarrow
D) ΔπtY~tRtIz\Delta \pi _ { t } \uparrow \Rightarrow \tilde { Y } _ { t } \uparrow \Rightarrow R _ { t } \downarrow \Rightarrow I _ { z } \downarrow
E) None of these answers are correct.

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