Critics of the Federal Reserve maintain that, to correct the credibility problem of monetary policy, the Fed should: Question 10 options: 1) tighten monetary policy. 2) be required to maintain a growth rate of the money supply that is fixed by law. 3) give more power to the Federal Open Market Committee. 4) ignore public opinion and establish more discretionary power over monetary policy. 5) merge with the U.S. Treasury and be dissolved as an independent agency.
I believe the answer is option 2.
When aggregate demand declines unexpectedly and wage contracts are fixed, then the average price level will: Question 9 options: 1) increase and business firms will hire new workers. 2) decline and firms will reduce wages. 3) decline and business firms will lay off workers. 4) increase and business firms will lay off workers. 5) increase and business firms will increase wages.
I believe its option 2. Businesses lower wages then layoff.
If the public expects the incumbent administration to stimulate the economy shortly before an election: Question 8 options: 1) the unemployment rate will fall at the cost of higher inflation. 2) the economy will move up the short-run Phillips curve. 3) lower inflation will prevail, and the rate of unemployment will remain unchanged. 4) the economy will immediately move up the long-run Phillips curve. 5) neither inflation nor the unemployment rate will change.
idk the first one the second one is 3 and i cant say i know #3
Are you sure about the second one being 3?? My book says lower wages then layoff
Suppose that an increase in aggregate demand causes an unplanned depletion in business inventories. Which of the following situations will result from this? Question 6 options: 1) The economy moves up the short-run Phillips curve. 2) The short-run Phillips curve shifts to the right. 3) The short-run Phillips curve shifts to the left. 4) The aggregate supply curve shifts to the left. 5) The economy moves down the short-run Phillips curve. Its either two of three
see you got this! may i ask why you need help if you just corrected me above?
For a second opinion.. I have 2 left
The long-run aggregate supply curve at potential national income is analogous to: Question 3 options: 1) the short-run aggregate demand curve at potential national income. 2) the long-run Phillips curve at the natural rate of unemployment. 3) the long-run aggregate demand curve at each price level. 4) the short-run Phillips curve at the natural rate of unemployment. 5) the horizontal portion of the Phillips curve. Identify the correct statement. Question 1 options: 1) The removal of financial market regulations has lowered the probability of financial crisis to zero. 2) Investment in residential housing in the U.S. was less volatile during the era prior to the removal of Regulation Q. 3) Investment in residential housing in the U.S. was more volatile after the removal Regulation Q. 4) The removal of financial market regulations lowered output volatility. 5) The removal of financial market regulations increased variability in consumer spending.
Q3: i think that is #3 Q1: not sure
Alright thank you!
where my metal lol i see i have a medal