What Is the Consensus Among Most Economists Today with Respect

question 208

Multiple Choice

What is the consensus among most economists today with respect to the management of unemployment?

• A) Government can't do anything about it.
• B) Expansionary policy can be used to achieve permanently low unemployment.
• C) Unemployment cannot be kept below the natural rate.
• D) Unemployment cannot be kept anywhere near the natural rate.

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Definitions:

Operating Expense

Operating expense includes all necessary expenditures that a business incurs as a result of performing its normal business operations, excluding the cost of goods sold.

Operating Profit

The profit earned from a firm's core business operations, excluding deductions of interest and taxes.

Mark-up

The amount added to the cost price of goods to cover overhead and profit.

Unit Cost

The cost incurred to produce, store, or acquire one unit of a product or service.