The Inflation Rate Has Been Constant for Several Years at 4

question 286

Multiple Choice

The inflation rate has been constant for several years at 4 percent, and the unemployment rate has been stable at 6 percent over the same time period. Changes in government policy that cause the inflation rate to rise to 6 percent will

• A) have no effect on the unemployment rate.
• B) cause the unemployment rate to fall in the short run.
• C) cause the unemployment rate to rise to 9 percent in the short run.
• D) cause the unemployment rate to rise in the short run, but we cannot tell by how much.

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Definitions:

Functional Conflict

Is constructive and helps task performance.

Cooperative

An organization owned and operated by its members for their mutual benefit, often emphasizing democratic decision-making.

Creativity

Creativity involves generating new and original ideas, approaches, or solutions, characterized by the ability to see things in novel ways and find unique solutions to problems.

Active Listening

The practice of fully concentrating, understanding, responding, and remembering what is being said in a conversation.