Consider a Very Small Economy with a Potential Output of £10

question 1

Multiple Choice

Consider a very small economy with a potential output of £10 billion. The actual output is £7 billion while the inflation level is 4 per cent. Which of the following can definitely be concluded if the long- run aggregate supply curve shifts to £9.5 billion?

• A) The target rate of inflation in this economy is 4 per cent.
• B) The output gap is reduced to negative £2.5 billion due to the real business cycle effect.
• C) The long-run unemployment level in this economy is 4 per cent.
• D) The output gap changes to negative £0.5 billion as the long-run aggregate supply curve

Comprehend different reinforcement schedules (fixed-ratio, variable-ratio, fixed-interval, variable-interval) and their impacts on behavior.

Recognize the role of aversive stimuli in behavior modification.

Grasp the concept of reinforcement and its application to increase desired behaviors.

Understand the use of punishment to decrease undesired behaviors.

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Definitions:

Truth Values

The valuation in logic indicating the truthfulness of propositions, typically represented as true or false.

Short Form Truth Table

A simplified method for determining the validity of logical expressions by only focusing on the essential combinations of truth values that affect the outcome.

Atomic Sentences

The most basic and indivisible types of sentences in logic, expressing a single proposition.

Truth Values

The valuation in logic that classifies statements into categories such as true, false, or, in some systems, indeterminate.