A Basic Assumption of the New Classical Macroeconomists Is That

question 53

Multiple Choice

A basic assumption of the new classical macroeconomists is that

• A) fluctuations in aggregate demand are impossible in the short run.
• B) MQ is identical to real GDP.
• C) output is inversely related to the tax rate.
• D) markets work efficiently.
• E) most unemployment is involuntary.

---

Definitions:

Racial Groups

Categories of humans based on shared physical or social qualities into groups generally viewed as distinct by society.

United States

A country in North America comprising 50 states, known for its large size, diverse culture, and significant impact on global affairs.

Blood Pressure

The pressure of circulating blood against the walls of blood vessels, a critical indicator of cardiovascular health.

Vessel Walls

The structural layers of blood vessels, including arteries and veins, that help control blood flow and pressure.