Multiple Choice
Which of the following is NOT an assumption of the classical model?
A) Government intervention is necessary for economic stability.
B) No one buyer or seller of a good or service can affect the price of the good or service.
C) People are motivated by self-interest.
D) People are not fooled by the money illusion.
Correct Answer:
Verified
Correct Answer:
Verified
Q230: Oil prices increased significantly in 2008. According
Q231: The short-run aggregate supply (SRAS) curve represents
Q232: According to the classical model, investment<br>A) is
Q233: Refer to the above figure. An increase
Q234: If the price level kept increasing, the
Q236: Which of the following can cause inflation?<br>A)
Q237: Money illusion is<br>A) a basic condition that
Q238: In economics, investment is defined as<br>A) the
Q239: For several years, the U.S. unemployment rate
Q240: "Supply creates its own demand" is known