Two General Conclusions Can Be Made from the Empirical Tests

question 38

Multiple Choice

Two general conclusions can be made from the empirical tests of purchasing power parity (PPP) :

• A) PPP holds up well over the short run but poorly for the long run, and the theory holds better for countries with relatively low rates of inflation.
• B) PPP holds up well over the short run but poorly for the long run, and the theory holds better for countries with relatively high rates of inflation.
• C) PPP holds up well over the long run but poorly for the short run, and the theory holds better for countries with relatively low rates of inflation.
• D) PPP holds up well over the long run but poorly for the short run, and the theory holds better for countries with relatively high rates of inflation.

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Definitions:

Psychologists

Professionals in the field of psychology who study mental processes and behavior, and provide services such as counseling and therapy.

Authoritarian Parents

Parents who impose strict rules and expectations, demanding obedience from their children with little negotiation possible and often employing punitive measures.

Low Self-Esteem

A condition characterized by a lack of confidence and feeling undeserving of respect or a positive self-view.

Obedient

The quality of willingly complying with orders, requests, or laws.