What Is an Example of the New Economic Divisions in the European

question 16

Multiple Choice

What is an example of the new economic divisions in the European peasantry that began to appear during the fourteenth century?

• A) Peasants living west of the Elbe became freer.
• B) Peasants living in the Balkans became freer.
• C) Peasants living east of the Elbe became freer.
• D) Peasants throughout Europe became poorer.

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Definitions:

Rational Expectations School

An economic theory suggesting individuals make predictions about future economic events using all available information and past experiences.

Inflation

The speed at which the general cost level for goods and services ascends, weakening purchase potency.

Policy Change

Adjustments or modifications made to existing rules, regulations, or guidelines within an organization, government, or system.

Monetary Policy

Actions by a central bank to control the money supply and interest rates in order to influence economic activity.