Suppose Americans Become Pessimistic About the Future of the Economy

question 112

Multiple Choice

Suppose Americans become pessimistic about the future of the economy and, as a result, reduce their current consumption expenditures. Which of the following would you expect to occur as a result of this change?

• A)In the short run, unemployment will increase and inflation will fall.
• B)In the short run, unemployment will increase and inflation will rise.
• C)In the short run, unemployment will decrease and inflation will rise.
• D)In the short run, unemployment will decrease and inflation will fall.

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Definitions:

Prelinguistic Vocalization

Sounds made by infants before they acquire language, including cooing and babbling, which are important for the development of communication skills.

Negative Instances

Examples or situations that do not conform to a particular rule or generalization, often used in learning and reasoning.

Hypermorphs

Genetic mutations that result in increased gene expression or activity compared to the wild-type allele.

Hypomorphs

Mutated genes that produce a less active product than the normal gene.