Classical Macroeconomics Was Based Largely on the Foundation Of

question 133

Multiple Choice

Classical macroeconomics was based largely on the foundation of:

• A) flexible wages and prices.
• B) persistent unemployment.
• C) government intervention in the market.
• D) Adam Smith's model of imperfectly competitive markets.

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Definitions:

Positive Reinforcement

A concept in behavior psychology where the introduction of a stimulus following a desired behavior increases the likelihood of the behavior occurring again in the future.

Negative Reinforcement

A behavioral strategy that increases the likelihood of a response by removing an unpleasant stimulus.

Modeling

The process of creating representations of complex real-world phenomena to predict outcomes or understand mechanisms, often used in science and economics.

Punishment

A penalty imposed on someone for a wrongdoing or transgression, intended as correction or deterrence.