In the neoclassical growth model, convergence is conditional upon two countries having a. the same savings rates. b. the same depreciation rates. c. the same technology growth rates. d. the same population growth rates. e. all of the above. ANSWER E
Date: September 10th, 2020
The Keynesian model a. assumes a stable, downward sloping Phillips curve in the short run. b. implies a horizontal Phillips curve in the long run. c. shows that the Phillips curve is can be downward or upward sloping in the short run. d. differs from Friedman’s analysis pertaining to the vertical long-run Phillips curve. […]
Date: September 10th, 2020
Immigrants were valued as a vital source of labor and, consequently, they were greeted with open arms after the 1830s. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
Regarding business conditions during the 1930s, which of the following events did not occur? (a) The number of patents applied for declined. (b) The number of mergers between companies increased in an attempt to increase their consolidated strength. (c) Some interest rates, such as the prime rate, fell to less than 1%. (d) In the […]
Date: September 10th, 2020
According to Edward Denison, the major source of labor productivity is a. improvements in labor quality. b. economies of scale. c. the changing composition of the labor force. d. technological progress. e. education per worker. ANSWER D
Date: September 10th, 2020
The nonwhite percentage of the U.S. population rose after the Civil War. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
According to monetarists, the natural rate theory a. denies the tradeoff between inflation and output. b. argues that there is a stable tradeoff between inflation and output. c. shows that activist policies work best. d. believes that the Phillips curve relationship breaks down when policymakers attempt to use it. ANSWER D
Date: September 10th, 2020
In an open economy, there should be a a. close positive relationship between investment and savings. b. a close positive relationship between trade deficits and investment. c. a negative relationship between trade deficits and savings. d. a positive relationship between a country’s savings rate and higher domestic interest rates. ANSWER C
Date: September 10th, 2020
Economic history shows that stock market averages are useful predictors of the future. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
At the start of the Civil War, the population in the U.S. was about half that of the United Kingdom. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
