When the Actual Change in the Price Level Differs from Its

question 95

Multiple Choice

When the actual change in the price level differs from its expected change,which of the following can explain why firms might change their production?

• A)both menu costs and mistaking a price level change for a change in relative prices
• B)menu costs but not mistaking a price level change for a change in relative prices
• C)mistaking a price level change for a change in relative price but not menu costs
• D)neither menu costs nor mistaking a price level change for a change in relative prices

Understand and calculate probabilities involving multiple events.

Interpret survey data to calculate probabilities.

Apply probability rules to card game scenarios.

Apply principles of probability to dice games.

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Definitions:

Privatized System

A setup where services or enterprises once operated by the government are transferred to private sector control and ownership.

Alfred Landon

A prominent American politician, known for being the Republican nominee for President in 1936 but was defeated by Franklin D. Roosevelt.

New Deal

A series of programs, public work projects, financial reforms, and regulations enacted by President Franklin D. Roosevelt in the United States during the 1930s to restore and reform the U.S. economy during the Great Depression.

Timid Politics

A form of political action characterized by hesitance, caution, or a lack of boldness in policy-making and leadership.