Suppose the price of good X falls. As a result, the quantity demanded for good X increases for a particular consumer. For this consumer, the substitution effect induced the consumer to purchase more X while the income effect induced the consumer to purchase less X. We can infer that X is a(n)

Some economists believe that inflation could actually help reduce unemployment in the short-run

a. True b. False Indicate whether the statement is true or false

During a discussion with fellow economics students, Oliver emphasized the fact that prices and wages are sticky and they do not adjust quickly. Which of the following macroeconomic perspectives has most likely had the greatest influence on Oliver?

a. Classical b. Keynesian c. Neo Keynesian d. Neoclassical