If a central bank reduced inflation by 4 percentage points and this made output fall by 5 percent for one year and 3 percent for another year and the unemployment rate rise 2.5 percent above its natural rate for one year and 1.5 percent above its natural rate for another year, the sacrifice ratio was

In "real business cycle" theory, as opposed to "traditional business cycle" theory, the govern- ment is viewed as an instrument to correct unevenness in economic growth caused by cycles

Indicate whether the statement is true or false

Use the figure below to answer the following question. The equilibrium point in the market is the point at which the S and D curves intersect.Assuming equilibrium price P1, consumer surplus is represented by areas

A. a + c.  B. a + b + c + d. C. c + d. D. a + b.