Which of the Following Statements Is True of the Economy

question 55

Multiple Choice

Which of the following statements is true of the economy in the long run? In the long run,
I.real GDP eventually moves to potential because all wages and prices are assumed to be flexible.
II.the economy can achieve its natural level of employment and potential output at any price level.
III.there is no cyclical unemployment.

• A)I only
• B)I and II only
• C)I and III only
• D)I, II, and III

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Definitions:

Universal Principles of Management

Fundamental concepts and practices that are widely applied across various industries and organizations to effectively lead and manage teams.

Henry Fayol

A French engineer and scholar, recognized as one of the pioneers of modern management methodologies, noted for his development of a general theory of business administration.

Diversity

The inclusion of individuals from various backgrounds, beliefs, and cultures, contributing to a rich, multidimensional environment.

Unity of Command

A principle in management and military stating that each employee should receive orders from only one superior to avoid confusion and conflict.