Multiple Choice
If workers push for wages that are beyond what productivity gains can justify ________.
A) a temporary negative supply shock ensues driving up prices
B) a negative output gap ensues which will lead to higher unemployment if the Federal Reserve does not act
C) and the Federal Reserve eases monetary policy aimed at increasing aggregate demand to counter the negative supply shock,a price-wage spiral could ensue
D) all of the above
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
Q68: If the economy is in a long-run
Q69: Nonactivists believe that _.<br>A)there is a very
Q70: The American Recovery and Reinvestment Act of
Q71: A negative shock in aggregate demand will
Q72: In the 1965 to 1973 period,U.S.policymakers _.<br>A)targeted
Q74: A change in the equilibrium real interest
Q75: If most shocks to the economy are
Q76: The goal of maximum sustainable employment is
Q77: Many borrowers defaulted on subprime mortgages ultimately
Q78: In the absence of financial frictions,_.<br>A)interest rates