High Inflation,increasing Current Account Deficits and Foreign Debt Are Elements

question 40

Multiple Choice

High inflation,increasing current account deficits and foreign debt are elements of which type of macro situation?

• A)business cycle
• B)political manoeuvre
• C)legal fracture
• D)economic instability

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Definitions:

Wage Rate

The amount of compensation a worker receives per unit of time or output.

Labor Demand Curve

A graphical representation that shows the relationship between the quantity of labor demanded by firms and the wage rate.

Competitive Market

A market structure characterized by a large number of buyers and sellers, free entry and exit, and a homogeneous product.

Marginal Product

The extra output generated from adding a single unit of a specific input, with all other inputs remaining unchanged.