Which of the following thoughts do the Keynesian and the new Keynesian economists share?
a. The belief that wages and prices are not flexible in the short run
b. The belief that the aggregate supply curve is always a horizontal line
c. The belief that the government's role in the economy should be minimized
d. The belief that the natural rate of unemployment in an economy is always zero
e. The belief that prices are constant and that changes in aggregate expenditures determine equilibrium real GDP
a
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Which one of the following will shift the investment demand curve leftward?
a. A technological breakthrough. b. Lower tax rates. c. Optimistic business expectations. d. A lower rate of capacity utilization. e. None of these.
When goods that have intrinsic value are used as money, if their value as money falls, the good:
A. is still useful to people for other reasons. B. is no longer useful to people for other reasons. C. loses its intrinsic value. D. tends to gain in intrinsic value.