Which of the Following Would Be Strong Evidence That an Expansionary

question 128

Multiple Choice

Which of the following would be strong evidence that an expansionary gap exists?  

• A) Rapid inflation occurs during a period when plant capacity utilization is below average. 
• B) Help-wanted advertising is higher than usual, and the consumer price index is up more than expected. 
• C) Inflation has slowed markedly, and the TSX average is at record levels. 
• D) The number of new unemployment claims has skyrocketed, and the price level is falling.

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Definitions:

Lymphocyte

A type of white blood cell that is part of the immune system, helping the body to fight infection and disease.

Neutrophil

A type of white blood cell important in defending the body against infection and disease.

Blood Smear

A laboratory test procedure that involves spreading a thin layer of blood on a microscope slide for the purpose of examining blood cells under a microscope.

Eosinophils

A type of white blood cell that plays a key role in the body's immune response, especially in combating parasitic infections and in allergic reactions.