Nonactivists propose doing nothing in the face of economic hardship because ________
A) activist policies can kick in at the wrong time and be counterproductive
B) "markets self-correct pretty rapidly anyway"
C) in the face of high unemployment, activist policies would likely lead to surges in inflation
D) all of the above
E) none of the above
D
You might also like to view...
Based on the figure above, when the firm maximizes its profit, it produces ________ cans per day
A) 0 B) more than 0 and less than 5 C) 5 or more but less than 10 D) 10 E) more than 10
The table above gives the quantity of money and money demand schedules. Suppose that the interest rate is equal to 6 percent. The effect of this interest rate in the money market is that
A) the money market is in equilibrium. B) people buy bonds and the interest rate falls. C) people sell bonds and the interest rate falls. D) bond prices fall and so the interest rate falls.