The 2007 subprime crisis spread easily because
A) the United States is an important economy.
B) banks in other countries had purchased assets that depended on the U.S. housing market.
C) there was speculation against the U.S. dollar.
D) the Fed failed to act at the right time.
B
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The natural unemployment rate and the expected inflation rate are constant when moving along the ________, which shows a tradeoff between ________ and ________
A) short-run Phillips curve; inflation; employment B) long-run Phillips curve; inflation; unemployment C) aggregate demand curve; inflation; employment D) aggregate supply curve; inflation; unemployment E) short-run Phillips curve; inflation; unemployment
To economists, investment means buying stocks and bonds
a. True b. False Indicate whether the statement is true or false