When market price is higher than the equilibrium price, a surplus is created. This will put downward pressure on price, causing quantity demanded to increase and quantity supplied to decrease until equilibrium is reestablished

If the economy is at full employment, then the unemployment rate

A) is greater than the natural unemployment rate. B) is equal to the natural unemployment rate. C) is below the natural unemployment rate. D) is equal to zero. E) can be anywhere on a short-run Phillips curve.

The international adjustment mechanism for flexible exchange rates is the same as for managed float regimes

Indicate whether the statement is true or false