Solved

If the Economy Diverges from Its Full-Employment Output, New Classical

Question 53

Multiple Choice

If the economy diverges from its full-employment output, new classical economics would suggest that:


A) A change in the velocity of money would be all that is needed to return it to its full-employment output
B) An improvement in insider-outsider relationships is all that is needed to return it to its full-employment output
C) An efficiency wage in the economy would return it to its full-employment output
D) Internal mechanisms within the economy would automatically return it to its full-employment output

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions