A. private sector imports and exports
B. economic policy
C. the duration of compulsory education
D. labor supply changes
Related Mcqs:
- When economists use the term real business cycle theory they are suggesting that business cycles are caused by ?
A. Shifts in aggregate supply
B. changes in export demand due to the state of the world economy
C. business confidence
D. business expectations - Assume that Country A is relatively abundant in labor and Country B is relatively abundant in land Note that wages are the returns to labor and rents are the returns to land According to the factor price equalization theorem, once Country A begins specializing according to comparative advantage and trading with Country B: A. wages and rents should fall in Country A B. wages and rents should rise in Country A C. wages should rise and rents should fall in Country A D. wages should fall and rents should raise in Country A ?
XA. wages and rents should fall in Country A
B. wages and rents should rise in Country A
C. wages should rise and rents should fall in Country A
D. wages should fall and rents should raise in Country A - With whom would you associate the following quote” The business of business is business” ?
A. Milton Friedman
B. Adam smith
C. Alfred Marshal
D. Karl Marx - Real business cycle theory suggests that ____ not important in explaining short-term fluctuations around actual output ?
A. aggregate supply is
B. aggregate demand is
C. potential output is
D. real variables are - Real business cycle theorists argue that _________ can explain short- and long-term fluctuation in output?
A. imperfect labor markets
B. rational expectations
C. intertertemporal decisions of households, firms and government
D. sun spot cycles - The business cycle describes fluctuations in output around the?
A. trend path of output
B. boom
C. recession
D. short-run fluctuations in output - All of the following are parts of the business cycle except ?
A. boom
B. slump
C. recovery
D. acceleration - Real business cycle theories suggest that _____ to correct departures from the desired growth path?
A. There is a role for fiscal policy
B. There is a role for monetary policy
C. There is a role for supply-side policy
D. There is a role for stabilizing output ever the business cycle - What term is given to unemployment caused by a downturn in the business cycle ?
A. Underemployment
B. Disguised unemployment
C. Temporary unemployment
D. Cyclical unemployment - If the economy is in the though phase of the business cycle, aggregate demand ____ unemployment ______ inflation ______ and the current account of the balance of payments is likely to move towards ________?
A. falls; falls; falls; surplus
B. falls; rises; falls; surplus
C. is static; low; rises; deficit
D. rises; falls; rises; deficit
