Suppose the Economy Is at Full Employment, and Consumers Spend

question 37

Multiple Choice

Suppose the economy is at full employment, and consumers spend more than usual. In the short run, output will _____; in the long run, output will _____.

• A) increase; remain unchanged
• B) increase; increase
• C) remain unchanged; decrease
• D) remain unchanged; increase

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Definitions:

Performance Measures

Metrics used to assess the effectiveness and efficiency of an individual, organization, or system in achieving its goals.

Quantitative Methods

Analytical techniques used to understand patterns and relationships in data through mathematical and statistical procedures.

Recommendations

Advice or suggestions for the best course of action in specific situations.

Performance Management

The comprehensive process of ensuring that organizational goals are consistently met in an efficient and effective manner through the management of employee performance.