In the Short Run, Which of the Following Is Not

question 122

Multiple Choice

In the short run, which of the following is not correct?

• A)Increasing the money supply increases the demand for goods and services.
• B)Increasing the money supply encourages firms to hire more workers.
• C)Lowering the money supply leads to a higher level of unemployment.
• D)Policies that encourage higher employment will also induce a lower rate of inflation.

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Definitions:

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The tendency to remember information that is encountered first more easily than information that is encountered later.

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Professionals who study mental processes and human behavior by observing, interpreting, and recording how people relate to one another and to their environments.

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The structure of concepts, beliefs, or perceptions through which an individual interprets and interacts with the world.

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A workplace dress code policy allowing employees to wear more casual attire on Fridays.