A Simple Macroeconomic Model Might Explain How an Increase in the Demand

question 5

Multiple Choice

A simple macroeconomic model might explain how an increase in the demand for new housing would lead to a decrease in the rate of unemployment.In such a model,which of these variables is likely to be exogenous?

• A)the quantity sold of home furnishings
• B)the degree of unionization of the construction industry
• C)the wage rate for unskilled workers
• D)the level of tax revenues
• E)the demand for concrete

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Definitions:

Energy Recovery

The process of capturing energy that would otherwise be wasted, often by converting it into electricity or useful heat.

McClelland's Research

The study conducted by psychologist David McClelland that focuses on human motivation, particularly the theory of Needs which includes Achievement, Power, and Affiliation.

High Achievers

Individuals who consistently reach or surpass goals due to their motivation, skills, and effort.

Socialized Power

Power used responsibly and for the benefit of the group or society rather than for personal gain.