menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Macroeconomics Study Set 39
  4. Exam
    Exam 14: Aggregate Supply and the Short-Run Tradeoff Between Inflation and Unemployment
  5. Question
    Assume That the Sacrifice Ratio for an Economy Is 4
Solved

Assume That the Sacrifice Ratio for an Economy Is 4

Question 10

Question 10

Multiple Choice

Assume that the sacrifice ratio for an economy is 4. If the central bank wishes to reduce inflation from 10 percent to 5 percent, this will cost the economy ______ percent of one year's GDP.


A) 4
B) 5
C) 20
D) 40

Correct Answer:

verifed

Verified

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

Related Questions

Q5: The NAIRU is the:<br>A) North American institutional

Q6: Which of the following will shift the

Q7: If the short-run aggregate supply curve is

Q8: An economy must sacrifice 12 percent of

Q9: According to the sticky-price model, output will

Q11: The Phillips curve analysis described in Chapter

Q12: According to the sticky-price model, other things

Q13: Each of the two models of short-run

Q14: Along an aggregate supply curve, if the

Q15: In the case of cost-push inflation, other

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines