During the 2008 financial crisis velocity decreased. This means that the rate at which money changed hands
a. decreased. Other things the same, a decrease in velocity decreases the price level.
b. decreased. Other things the same, a decrease in velocity increases the price level.
c. increased. Other things the same, an increase in velocity decreases the price level.
d. increased. Other things the same, an increase in velocity increases the price level.
a
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The labor force participation rate
A) increases as the real wage increases. B) decreases as the real wage increases. C) has nothing to do with the real wage rate. D) increases as the opportunity cost of working increases. E) is one of the major reasons that firms pay efficiency wages.
The increased willingness of women to enter the workforce has most likely lead to what outcome in the labor market?
a. an increase in labor demand and higher real wages. b. an increase in labor supply and higher real wages. c. an increase in labor supply and high real wages. d. a decrease in labor demand and lower real wages. e. none of the above.