Which of the following issues will economists likely agree about?
A)The long-run achievable target rate of unemployment
B)Estimates of potential income
C)The relationship between the level of economic activity and inflation
D)Outside of some unemployment range, too much spending causes inflation and too little causes a recession

Question

Quizplus · Accepted Answer

Economists generally agree on the concept that beyond a certain range of unemployment, excessive spending can lead to inflation, while insufficient spending can lead to a recession. This is rooted in basic economic principles related to demand-pull inflation and the effects of aggregate demand on economic cycles.

Which of the Following Issues Will Economists Likely Agree About