The Hypothesis That Hysteresis May Play an Important Role in Macroeconomics

Multiple Choice

The hypothesis that hysteresis may play an important role in macroeconomics implies, among other things, that:

A) the history of economic thought is important to macroeconomics.
B) workers get hysterical during long depressions.
C) hysteresis lowers the sacrifice ratio.
D) the natural rate of unemployment may increase if unemployment is high for a long period of time.