Which of the Following Models Imply That a Decrease in the Money

question 67

Multiple Choice

Which of the following models imply that a decrease in the money supply reduces unemployment temporarily but not permanently?

• A)both the long-run Phillips curve and the aggregate supply and aggregate demand model.
• B)the aggregate demand and aggregate supply model,but not the long-run Phillips curve.
• C)the long-run Phillips curve,but not the aggregate demand and aggregate supply model.
• D)neither the long-run Phillips curve nor the aggregate supply and aggregate demand model.

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Definitions:

Psychodynamic Theories

A group of theories in psychology that primarily focus on unconscious processes and childhood experiences affecting personality and behavior.

Unconscious Conflicts

Psychological struggles within an individual that are not within the immediate awareness, often stemming from repressed thoughts or feelings.

Humanistic Theories

A psychological perspective emphasizing individual potential and stress on self-growth, free will, and inherent goodness of humans.

Unconscious

A part of the mind that is inaccessible to the conscious mind but that affects behavior and emotions.