Which of the Following Statements Applies to the Classical System

question 12

Multiple Choice

Which of the following statements applies to the classical system?

• A)There is money wage inflexibility since full employment already existed
• B)A perfectly flexible money wage is not always a requirement for full employment
• C)Full employment was easily explained with downward money wage rigidity
• D)An imperfect market structure is requirement for full employment
• E)none of the above

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Definitions:

Noncontributory

A social welfare program that does not require participants to have contributed to a specific fund in order to receive benefits from it.

Welfare

Government programs designed to assist individuals and families in meeting their basic needs, such as food, housing, and healthcare, often aimed at those living in poverty.

Bill Clinton

The 42nd president of the United States who served from 1993 to 2001, known for implementing policies that contributed to economic growth and stability.

Ronald Reagan

The 40th President of the United States, who served from 1981 to 1989 and was a key figure in the conservative movement.