Search
.Management Sciences
Category: Aggregate Supply, Unemployment And Inflation
The quantity theory of money says that changes in ____lead to equivalent changes in ____ but have no effect on ______?
A. prices, wages, output and employment
B. output prices, employment
C. nominal money, the price level, output and employment
D. nominal money output prices
An advocate of the classical model of the economy would claim that unemployment is created when the ____ is above its equilibrium level in the ______?
A. price level, aggregate economy
B. tax rate, government budget
C. wage rate, labor market
D. interest rate, market for loanable funds
We would normally expect the size of the labor force to be _____ than the number or workers willing to accepts job offers at any real wage rate ?
A. Smaller
B. Larger
C. the same size
D. None of these
The equilibrium rate of unemployment at any real wage, is the difference between ______ and ______?
A. those willing to work at the going wage labour demand
B. labour demand those willing to work at the going wage
C. labor demand, labor supply
D. those willing to work at the going wage labor supply
The costs of inflation are ?
A. shoe leather costs
B. menu costs
C. income redistribution
D. uncertainly
E. all of the above
The equilibrium inflation rate is determined by the intersection of _____ and _____?
A. demand, supply
B. IS, LM
C. AD, AS
D. Labor demand, labor supply
A person who is made redundant because of the contraction of an industry is a victim of ?
A. frictional unemployment
B. demand-deficient unemployment
C. classical unemployment
D. structural unemployment
According to the classical economists, those who are not working ?
A. have chosen not to work at the market wage
B. have given up looking for a job but would accept a job at the current wage if one were offered to them.
C. are too productive to be hired at the current wage
D. are unable to find a job at the current wage rate
In the classical model, potential output cannot be increased by ?
A. monetary growth
B. better technology
C. more capital
D. higher labor supply
Those who hold the classical view of the labor market are likely to believe that ?
A. neither monetary nor fiscal policy will have an effect on output and employment
B. monetary but not fiscal policy will have an effect on output and employment
C. Fiscal, but not monetary policy will have an effect on output and employment
D. both monetary and fiscal policy will have an effect on output and employment
Recent Comments