Mainstream Economists Question the New Classical Assumption That

question 102

Multiple Choice

Mainstream economists question the new classical assumption that

• A)excessive growth of the money supply is a cause of inflation.
• B)the price level is determined by aggregate demand and aggregate supply.
• C)demand creates its own supply.
• D)wages and prices are equally flexible upward and downward.

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Definitions:

Smallest Term

In mathematics, it refers to the term in an expression, sequence, or series that has the smallest value.

Equivalent Ratio

A proportional relationship between two numbers or quantities, indicating how many times the first number contains the second.

Smallest Term

Smallest Term generally refers to the term in a mathematical expression or sequence with the smallest numerical value.

Ratio

A numerical relationship indicating the number of times one value is contained within or contains the other.