Suppose That the Salary Range for Recent College Graduates with a Bachelor's

question 21

Multiple Choice

Suppose that the salary range for recent college graduates with a bachelor's degree in economics is $30,000 to $50,000,with 25% of jobs offering $30,000 per year,50% offering $40,000 per year and 25% offering $50,000 per year and that in all other respects,the jobs are equally satisfying.Assume that in this market,a job offer remains open for only a short time so that continuing to search requires an applicant to reject any current job offer.
Who will accept an offer of $30,000?

• A)Graduates who have been searching the longest
• B)Graduates who enjoy taking risks
• C)Graduates who are either risk-neutral or risk-averse
• D)Only graduates who are risk-averse

Understand the basic principles of monetarism and its approach to managing the economy.

Analyze the concept of rational expectations and its implications for economic policy.

Evaluate the effectiveness of monetary and fiscal policies in influencing economic outcomes.

Comprehend the differences between Keynesian and monetarist views on economic stability and policy interventions.