A. an inflationary gap
B. hysteresis
C. A deflationary gap
D. hyperinflation
Related Mcqs:
- If injections are greater than withdrawals ?
A. National income will increase
B. National income will decrease
C. National income will stay in equilibrium
D. Price will fall - Periods of less than full employment corresponds to _________________ ?
A. points outside the production possibility curve
B. either points inside or outside the production possibility curve.
C. points on the production possibility curve
D. points inside the production possibility curve. - Total withdrawals from the circular flow of income include ?
A. consumption savings and taxes
B. savings government expenditure and imports
C. savings taxes and exports
D. savings taxes and imports - The long run equilibrium level of national income is the level at which ?
A. economic growth is Zero
B. All investment is used in the manufacturing sector
C. Economic growth is growing
D. All investment is used to maintain the existing capital stock at its current level - Gross National income is always more than Net National income because it includes ?
A. Foreign income
B. Capital consumption allowance
C. Indirect taxes
D. Direct taxes - Which approach predicts that is an economy operates a full employment and faces trade deficit currency devaluation will improve the trade balance only if domestic spending is cut thus freeing resources to produce exports ?
A. the absorption approaches
B. the Marshall Lerner approach
C. the monetary approach
D. the elasticities approach - Maintaining full employment stabilizing the economy and pursuing economic growth are issues analyzed in the context of_______________?
A. super economics
B. microeconomics
C. microeconomics
D. hyper economics - Injections ?
A. Decrease aggregate demand
B. Always equal savings
C. Always equal national income
D. include investment and export spending - Injections are?
A. Assumed to be exogenous
B. Assumed to be a function of national income
C. Decrease aggregate demand
D. Decrease the investment into an economy - In the circular flow we would expect leakages to ___________ injections?
A. equal
B. be less than
C. be greater than
D. be less or greater than
