Which of the following is true about unemployment?
a. the benchmark high-employment level is most likely between 3 and 4 percent
b. In recent years, the appropriate benchmark high-employment level has risen.
c. Based on the experience of the 1960s, a 7 percent unemployment rate was too low to be sustained without a buildup of inflationary pressure
d. During the 1970s, the benchmark high-employment level rose but this was not observed by economists at the time.
D
You might also like to view...
Tax cuts proposed by the Kennedy and Reagan administrations were followed by robust economic growth
a. True b. False Indicate whether the statement is true or false
The crowding-out effect works through interest rates and it tends to:
A. Increase the effectiveness of a tax increase B. Decrease the effectiveness of a tax increase C. Decrease the effectiveness of an increase in government spending D. Increase the effectiveness of an increase in government spending