In Figure 17-3 above, suppose we are working under the assumption of the Lucas model. It is the year of the presidential election, and fiscal policy becomes more expansionary
If every firm is convinced that its price increase is being duplicated across the economy, we would picture this as a movement between points A) A and C.
B) A and B.
C) D and B.
D) D and A.
E) A and D.
E
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Analyzing each possible outcome in a game one-by-one to locate Nash equilibria is called dominant strategy
Indicate whether the statement is true or false
Which of the following represents an example of labor-market discrimination?
a. An employer is more likely to grant an interview to a person graduating from Yale than from the local community college. b. An employer is more likely to grant an interview to a person graduating from the local community college than from Yale. c. An employer is more likely to grant an interview to a woman with a traditionally "white" name such as Emily than to a woman with a traditionally "black" name such as Lakisha. d. An employer is as likely to grant an interview to person with a traditionally "masculine" name such as "Alex" as a person with a traditionally "feminine" name such as "Emily.".