When the AD Curve Is Relatively Flat

question 8

Multiple Choice

When the AD curve is relatively flat,

• A) only fiscal policy can be used to increase output.
• B) only monetary policy can be used to increase output.
• C) both fiscal policy and monetary policy can be used to increase output.
• D) neither fiscal policy nor monetary policy can be used to increase output.

Recognize the role and importance of productivity in influencing a nation's standard of living.

Know the average growth rate of real GDP per capita in specific historical periods of the United States.

Understand the effects of research and development on the quality and quantity of labor and capital goods.

Identify the principles and criticisms of industrial policy and its impact on domestic and foreign economies.

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Definitions:

Carl Rogers

An influential American psychologist who founded client-centered therapy and emphasized the importance of the self and unconditional positive regard.

Unconditional Positive Regard

A concept in psychological therapy that involves showing complete support and acceptance to a person, regardless of what they say or do.

Vengeful Feelings

Emotions characterized by a desire for revenge or retaliation due to perceived harm or offense.

Spiteful Behaviours

Actions motivated by a desire to hurt, annoy, or offend someone, typically driven by ill will or malice.