The 1990s and 1920s have which of the following in common?
(a) Growth in real output, real output per person, employment and productivity
(b) Changes in the levels of nominal output, money supply and participation in the
stock market
(c) Similar expansions in the stock markets at the end of each period
(d) All of the above
(d)
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To increase the money supply, the Fed might: a. increase the reserve requirement and the discount rate
b. decrease the reserve requirement and the discount rate. c. increase the reserve requirement and decrease the discount rate. d. sell government securities and increase the discount rate. e. sell bonds on the open market and increase the reserve requirement.
The natural rate of unemployment (i) is the economy's desirable level of unemployment. (ii) arises from a single problem that has a single solution. (iii) is the amount of unemployment that does not go away on its own
a. (i) and (ii) only
b. (iii) only
c. (i), (ii), and (iii)
d. None of the above is correct.