Refer to Figure 17-6. If firms and workers have adaptive expectations, an expansionary monetary policy will cause the short-run equilibrium to move from

Thomas Malthus' prediction of mass starvation resulting from diminishing marginal returns has not been fulfilled because

A) the law of diminishing marginal returns did not hold in this case. B) Malthus ignored other factors like technological change. C) relative to Malthus' day, larger percentage of today's labor works in the agricultural sector. D) All of the above.

The gap between the actual and predicted values of a dependent variable is called

A) the error term. B) an exogenous factor. C) the residual. D) an endogenous factor.