The classical economists argued that
A) a market economy will not experience unemployment.
B) if unemployment occurs it will cure itself because prices,wages,and interest rates will fall.
C) aggregate demand may not be large enough to take the entire supply of goods and services off the market.
D) if inflation occurs it will cure itself because prices,wages,and interest rates will rise.
Correct Answer:
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Q42: According to the classical economists
A)a market economy
Q43: The curve showing the amount of real
Q44: The aggregate supply curve shows
A)how the cost
Q45: If the aggregate supply curve is horizontal,
A)there
Q46: A nearly vertical aggregate supply curve occurs
A)when
Q48: Which of the following will cause a
Q49: Classical economists and monetarists perceive
A)investors' expectations about
Q50: We would expect the aggregate demand curve
Q51: According to the classical economists,an increase in
Q52: Unintended inventory changes
A)precipitate explosive inflations of highly
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