According to the Classical Model, Unemployment

question 151

Multiple Choice

According to the Classical model, unemployment

• A) could not persist because wages would rise to eliminate the excess supply of labor.
• B) could not persist because wages would fall to eliminate the excess supply of labor.
• C) could be eliminated through fiscal and monetary policies.
• D) could be eliminated only through government intervention.

---

Definitions:

Insertion

Insertion refers to the placement of an object or substance into a body part or into a device, often used in medical procedures or mechanical processes.

Origin

The point or place where something begins, arises, or is derived.

Antagonist

In pharmacology, a substance that acts against and blocks an action by binding to a receptor without activating it, effectively preventing the natural ligand or agonist from exerting its effect.

Tendon

A cord-like, fibrous tissue that connects muscle to bone.