Use the Following to Answer Questions

question 260

Multiple Choice

Use the following to answer questions :
Figure: Monetary Policy I
-(Figure: Monetary Policy I) Look at the figure Monetary Policy I. If the economy is initially in equilibrium at E₂ and the central bank chooses to sell Treasury bills:

• A)AD₂ will shift to the right, causing an inflationary gap.
• B)AD₂ may shift to AD₁, causing a recessionary gap.
• C)SRAS₁ will shift immediately to the left, closing an inflationary gap.
• D)SRAS₂ will shift immediately to the right, increasing an inflationary gap.

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Definitions:

Repetitive Tasks

Tasks or activities that are performed in the same manner, following a specific routine or pattern, with little variation over time.

Task Identity

The feeling of responsibility or pride that results from doing an entire piece of work, not just a small part of it.

Short Job Cycles

Employment or job assignments that are characterized by brief periods of work, often due to project-based tasks or temporary positions.

Worker Training

The process of providing employees with the necessary knowledge and skills to perform their jobs safely, efficiently, and effectively.