Which of the Following Statements Is (Are)correct

question 44

Multiple Choice

Which of the following statements is (are) correct?

• A)The central policy tenet of the new classical economics is that aggregate demand management cannot achieve stabilization of real variables.
• B)According to the new classical view,systematic monetary policy actions that change aggregate demand will not affect output and employment even in the short run.
• C)According to the classicists,systematic fiscal policy actions that change aggregate demand will not affect output and employment even in the short run.
• D)All of the above
• E)None of the above

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Definitions:

P/E Ratios

The Price to Earnings ratio, a valuation metric used to compare the market value of a stock to its earnings per share, indicating how much investors are willing to pay per dollar of earnings.

Expected Growth Rates

Forecasts of how fast particular economic indicators, such as sales or earnings, will grow over a specified period.

PEG Ratio

PEG Ratio stands for Price/Earnings to Growth ratio, a stock's valuation metric that evaluates a stock's price-earnings ratio relative to its earnings growth rate, offering insight into its future potential compared to its current earnings.

Value Stocks

Stocks that traders believe are underpriced relative to their intrinsic value, often indicated by characteristics like low price-to-earnings ratios.