According to adaptive expectations theory, which of the following would be the result of expansionary monetary and fiscal policies?
A. The economy self-corrects to the natural rate of unemployment.
B. There is a long-run trade off between inflation and unemployment.
C. The inflation rate falls.
D. These policies can succeed in reducing the unemployment rate.
Answer: A
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The figure above shows the market for annual influenza immunizations the United States. Area B is the
A) gain in efficiency from the illustrated subsidy. B) remaining deadweight loss when there is the illustrated subsidy. C) deadweight loss when there is not the illustrated subsidy. D) equilibrium with the illustrated subsidy. E) loss in efficiency from the illustrated subsidy.
New residential housing is counted in GDP as a(n):
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