Based on the graph showing an increase in the growth of the money supply, if the economy maintains a 6 percent inflation rate for a fairly long time, people’s expectations will adjust and move the economy from ______.

Suppose that for several periods the aggregate demand and supply curves have been intersecting at the same point, and at full employment. Then the central bank increases money growth as the result of an announced policy change

Under New Classical assumptions the likely short-run result is __________ output and __________ price level. A) rising; a rising B) rising; an unchanged C) unchanged; a rising D) unchanged; an unchanged

Jamal earns $160,000 per year and Josephina earns $80,000 per year. If Jamal pays $16,000 in income taxes and Josephina pays $8,000 in income taxes, the income tax system would be

A) regressive. B) progressive. C) proportional. D) marginal.