Roots of Modern Macroeconomics

A. Keynesians
B. post-keynesians
C. monetarists
D. new classical school

A. how unemployment could have persisted for so long during the Great Depression
B. The increase in the growth rate of real output in the 1950s
C. the stagflation of the 1970s
D. Why policy changes that are perceived as permanent have more of an impact on a person’s behaviour than policy changes that are viewed as temporary.

A. not constant and the quantity theory of money does hold.
B. constant and the quantity theory of money does hold.
C. not constant and the quantity theory of money does not hold.
D. constant and the quantity theory of money does not hold.

A. the fallacy of composition
B. negative entropy.
C. hysteresis.
D. ceteris paribus

A. consistently overestimate the actual rate of inflation in the future.
B. are always correct
C. consistently underestimate the actual rate of inflation in the future
D. are correct on average, but are subject to errors that are distributed randomly

A. slump
B. inflation
C. stagflation
D. stagnation

A. laissez-faire.
B. monetary policy
C. fine tuning
D. automatic stablisers

A. stagflation in the late 1970s
B. demand-pull inflation in the 1960s
C. low growth rates in the 1950s
D. The prolonged existence of high unemployment during the Great depression

A. requires fine tuning to reach full employment
B. can never deviate from full employment
C. will never be at full employment
D. is self-correcting.

A. market prices
B. sticky prices
C. fixed prices
D. regulatory prices