The dynamic aggregate demand and aggregate supply model assumes that potential GDP increases over time

The Federal Reserve System regulates the money supply primarily by

A. controlling the production of coins at the U.S. mint. B. altering the reserve requirements of commercial banks and thereby the ability of banks to make loans. C. restricting the issuance of Federal Reserve Notes because paper money is the largest portion of the money supply. D. altering the reserves of commercial banks, largely through sales and purchases of government bonds.

An individual in the labor force whose employment was involuntarily terminated is

A. part of the PPI. B. a job loser. C. a job reentrant. D. a job leaver.