Economic Variables Whose Values Are Measured in Monetary Units Are

question 148

Multiple Choice

Economic variables whose values are measured in monetary units are called

• A)dichotomous variables.
• B)nominal variables.
• C)classical variables.
• D)real variables.

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Definitions:

Classical Economic Theory

A broad school of thought in economics that emphasizes the role of market forces and the flexibility of prices in achieving economic equilibrium, advocating minimal government intervention.

Stagflation

A situation in an economy where the inflation rate is high, the economic growth rate slows, and unemployment remains steadily high.

Output

The total amount of goods and services produced by an economy, business, or machine over a specific period of time.

Prices

The amount of money required to purchase goods or services, which can fluctuate based on demand, supply, and other economic factors.