Suppose the growth rate of Carolina is 5 percent. According to the rule of 70, it will take _____ years for the economy to double in size

Other things equal, which of the following would shift an economy's production possibilities curve to the left?

A. The discovery of a low-cost means of generating and storing solar energy. B. The entrance of more women into the labor force. C. A law requiring mandatory retirement from the labor force at age 55. D. An increase in the proportion of total output that consists of capital or investment goods.

Which of the following assumptions is crucial to the classical macroeconomic model's assertion that the economy has built-in forces that automatically eliminate unemployment and quickly move the economy to its potential level of real GDP?

A. profit motive B. rigid wages and prices C. flexible wages and prices D. natural rate of unemployment