A situation in which output decreases while prices increase is often referred to as:

If the union wants to follow the strategy of maximizing member's income, wages should be set

A) above the market clearing wage rate. B) such that all that wanted to work could work. C) at the market clearing wage rate. D) at the point at which the price elasticity of demand equals 1.

Which of the following will lower interest rates in the short run?

a. an increase in reserve requirements b. open market sales by the Fed c. a decrease in real GDP d. an increase in the price level