According to the Natural-Rate Hypothesis, Fluctuations in Aggregate Demand Affect

question 87

Multiple Choice

According to the natural-rate hypothesis, fluctuations in aggregate demand affect output in:

• A) both the short run and the long run.
• B) only in the short run.
• C) only in the long run.
• D) in neither the short run nor the long run.

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Definitions:

Insanity Defense Reform Act

A 1984 U.S. federal law that redefined criteria for establishing the insanity defense within federal courts.

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Durham Rule

A legal standard determining the criminal responsibility based on whether a defendant's unlawful act was the product of mental disease or defect.

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Legal principle stating that a person is not responsible for criminal conduct if he or she lacks the capacity to appreciate the criminality (wrongfulness) of the act or to conform his or her conduct to the requirements of the law as a result of mental disease.