If the Reserve Bank Lowers the Inflation Rate and Initially

question 12

Multiple Choice

If the Reserve Bank lowers the inflation rate and initially expected inflation does not change, in the short run the unemployment rate ________, and in the long run the unemployment rate ________ the natural unemployment rate.

• A) falls; is equal to
• B) rises; is greater than
• C) does not change; is greater than
• D) rises; is equal to
• E) does not change; is equal to

Comprehend the role of media and theories related to media influence in PR.

Identify different stages and flows of influence within media theories.

Understand how to report and utilize research findings effectively.

Understand the concept of framing and agenda-setting within PR contexts.

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Definitions:

A Credit Rating

This is an evaluation of the credit risk of a prospective debtor, predicting their ability to pay back the debt and an implicit forecast of the likelihood of the debtor defaulting.

Note

Unsecured debt, usually with a maturity under 10 years.

Protective Covenant

A clause in a financial contract that restricts certain actions of the borrower to protect the lender's interests.

Liquidity Premium

The additional return investors demand for holding a security that is not easily convertible into cash without loss of value.