Assume That the Democrats Always Had a Policy of High

question 56

Multiple Choice

Assume that the Democrats always had a policy of high money growth while the Republicans followed a policy of low money growth, and the economy had a standard Phillips curve. Then, if the two parties took regular terms in office:

• A) there would be no political business cycle, but inflation would be higher under the Democrats.
• B) there would be no political business cycle, but inflation would be higher under the Republicans.
• C) unemployment would be lower under the Democrats but inflation would be higher.
• D) both unemployment and inflation would be higher under the Democrats.

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Definitions:

Nonverbal Communication

The process of transferring information through body language, facial expressions, gestures, and tone of voice rather than spoken words.

Environmental Effects

The impact of environmental factors (physical, chemical, and biological) on living organisms and human societies.

Nonlanguage

Non-verbal forms of communication, such as gestures, facial expressions, and body language, that convey meaning without the use of words.

Meta-Communication

Meta-communication is communication about communication, detailing how verbal and non-verbal messages should be interpreted.