Consider Short-Run Fluctuations in Real GDP Around Its Trend Value

question 102

Multiple Choice

Consider short-run fluctuations in real GDP around its trend value.We can say that such fluctuations are

• A)generally ignored by economists,because these fluctuations do not affect behaviour of other variables such as the unemployment rate.
• B)generally ignored by economists,because these fluctuations are constant and predictable.
• C)referred to in economics as "background noise."
• D)referred to in economics as "the business cycle."
• E)unimportant to the study of macroeconomics.

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Definitions:

Optimum Interstimulus Interval

The ideal time gap between the presentation of a conditioned stimulus and an unconditioned stimulus for effective associative learning to occur.

Knee-Jerk Reflex

A reflexive action produced by a sharp tap on the tendons just below the kneecap, demonstrating the patellar reflex.

CS

Stands for Conditioned Stimulus, which is a previously neutral stimulus that, after becoming associated with an unconditioned stimulus, eventually comes to trigger a conditioned response.

UCS

Unconditioned Stimulus, an aspect of classical conditioning; a stimulus that naturally triggers a reflexive or unconditioned response without prior learning.