Which of the Following Is Not Consistent with a Self-Correcting

question 68

Multiple Choice

Which of the following is not consistent with a self-correcting economy?

• A) falling wages that correct a recessionary gap
• B) falling prices that correct a recessionary gap
• C) rising prices that correct an expansionary gap
• D) the tendency of the short-run aggregate supply curve to shift until it intersects the aggregate demand curve at potential GDP
• E) an active approach to a recession or depression

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Definitions:

Early Childhood

A period in human development that spans from birth to eight years old, characterized by rapid physical, cognitive, and emotional growth.

Inner Speech

The process of talking to oneself mentally, which plays a key role in self-regulation, problem-solving, and cognitive development.

Williams Syndrome

Williams syndrome is a rare genetic disorder that causes various developmental problems, including unique facial characteristics, heart issues, and a strong verbal aptitude often paired with social extroversion.

Mental Retardation

An outdated and now considered offensive term for intellectual disability, which refers to significant limitations in intellectual functioning and adaptive behavior.