When disinflation occurs:
A) the natural rate of unemployment rises.
B) and inflationary expectations do not change, an economy may have a recession.
C) and inflationary expectations do not change, unemployment rates will fall.
D) with inflationary expectations unchanging, aggregate output will rise.
Answer Key
Correct Answer:
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Q330: Frictional unemployment:
A)occurs only during expansions.
B)is due to
Q331: A wage offered by an employer as
Q337: The population of discouraged workers causes the:
A)actual
Q342: Alex expects the inflation rate to be
Q345: An efficiency wage:
A)can be secured only with
Q346: High rates of inflation often result in
Q347: In a particular labor market, the demand
Q350: The natural rate of unemployment:
A)equals zero.
B)equals the
Q351: Anticipated inflation affects:
A)borrowers only.
B)lenders only.
C)all aspects of
Q354: In periods of unexpected inflation:
A)borrowers benefit, since
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