In the Two-Sided Search Model, the Equilibrium Effects of an Increase

question 51

Multiple Choice

In the two-sided search model, the equilibrium effects of an increase in productivity are to

• A) increase market tightness, decrease unemployment, and increase aggregate output.
• B) decrease market tightness, decrease unemployment, and increase aggregate output.
• C) decrease market tightness, decrease unemployment, and decrease aggregate output.
• D) increase market tightness, increase unemployment, and decrease aggregate output.
• E) increase market tightness, increases unemployment, and increases aggregate output.

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Definitions:

Chemotaxis

The act of an organism or cell moving towards or away from a chemical signal.

Diapedesis

Passage of blood or any of its formed elements through the intact walls of blood vessels.

Margination

The process by which leukocytes move to the periphery of blood vessel walls in response to inflammation or infection.

Bilirubin

A yellow compound formed by the breakdown of hemoglobin in red blood cells, processed by the liver, and can indicate health issues when found in high concentrations in the bloodstream.