The Phillips curve summarizes the historical relationship between unemployment and inflation

A deficit in our balance of payments causes the dollar to __________, which causes the deficit to __________

A) appreciate; increase B) appreciate; decrease C) depreciate; increase D) depreciate; decrease

One major consequence of the framing effect is that:

A. People may spend more to insure themselves against rare events, but leave themselves uninsured against more common events B. Someone could persist in pursuing a failed policy despite overwhelming evidence of the failure C. Major business projects may create bottlenecks in the organization because they are not completed as scheduled D. Decision-makers may make faulty decisions if they are lulled by the environment in which they are making their decisions