Economists Believe That Most Short-Run Fluctuations

question 33

Multiple Choice

Economists believe that most short-run fluctuations:

• A) Are the result of demand shocks
• B) Are the result of supply shocks
• C) Will not last long because prices will adjust to equalize the quantities demanded and supplied of goods and services
• D) Will always have a negative impact on real GDP, inflation, and unemployment

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Definitions:

Individualist

A person with a preference for independence and self-reliance, often prioritizing personal goals and values over group objectives.

Enacted Norms

Norms that are established through actions and behaviors rather than formally written or spoken; they evolve from a group's habits.

Custom

Established practices or behaviors that are traditional and widely accepted within a specific culture or society.

Individualism/Collectivism

Refers to a cultural dimension that emphasizes the degree to which individuals are integrated into groups, with individualism favoring personal autonomy and collectivism emphasizing interdependence.