Stable Money and Prices Are a Key Source of Economic

question 83

Multiple Choice

Stable money and prices are a key source of economic growth because

• A) they allow activist policymakers to fine tune the economy.
• B) uncertainty and instability in prices will attract investors and business decision makers.
• C) price instability increases capital formation.
• D) price stability reduces the risks that accompany investment and other long-term commitments.

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Definitions:

Workplace Organization

Refers to the methodical planning and structure of work tasks, roles, and processes within a company to improve efficiency and employee satisfaction.

Goods Produced

Items or products that have been created through a process of manufacturing, farming, or other means of production.

Secondary Labor Market

Contains a disproportionately large number of women and members of racial minorities, particularly African and Hispanic Americans. Employees in the secondary labor market tend to be unskilled and lack higher education. They work in small firms with low levels of capital investment. Employment is insecure, earnings are low, and fringe benefits are meager.

Unskilled Employees

Refers to workers who possess no specific skills or qualifications and are often employed in labor-intensive or manual job roles.