The Main Belief of the Monetarist Model Is That

question 120

Multiple Choice

The main belief of the monetarist model is that

• A)workers and firms have rational expectations.
• B)the quantity of money should be increased at a constant rate.
• C)productivity shocks explain fluctuations in real GDP.
• D)the economy is slow to adjust to sticky wages and prices.

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Definitions:

Unreasonable Risk

A hazard or threat that is not justifiable given the circumstances, often indicating negligence or a failure to follow best practices.

Strict Liability

A legal principle that holds an individual or entity responsible for their actions or products, without the need to prove negligence or fault.

Fault

Responsibility for wrongdoing, error, or negligence, often determining liability in legal contexts.

Comparative Negligence

A legal doctrine in tort law that reduces the amount of damages a plaintiff can recover in a negligence-based claim, based upon the degree to which the plaintiff's own negligence contributed to cause the injury.