High inflation makes money ________ because ________
A) function better as a store of value; it leads to a more accurate allocation of resources
B) function less well as a store of value; the money loses value and therefore has less purchasing power
C) function better as a store of value; the money gains value and therefore has greater purchasing power
D) function better as a unit of account; money never loses value but it does gain purchasing power in some regions
E) function less well as a store of value; it decreases the price level and increases the buying power of money
B
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The labor force is defined as the number of
A. people who are working. B. employed plus the number of unemployed. C. people who are working in labor-type jobs. D. union members who are working.
When two people trade,
A. they know one of them will get the better of the other. B. they are trying to help out each other. C. both of them expect to be made worse off by the exchange. D. they both expect to be made better off by the exchange.