Exam 6: The Goals Of Macroeconomic Policy

As the unemployment rate rises,

Richard loses his job at the railroad due to a downturn in general business conditions.He is experiencing

Rachel agrees to lend Phoebe $100 for six months and charges her interest of 2 percent.At the end of the six-month period,prices have risen by 4 percent.

Last year your job at the university cafeteria paid you $9 an hour and the price of a music download was $1.00.This year your cafeteria job pays $9.90 per hour and download costs $1.10.You are clearly

Structural unemployment may be particularly severe for

GDP equals hours of work times

The nominal interest rate is the sum of the

Some economists believe that technological progress could be increased if the federal government

The growth rate of potential GDP depends on

During periods of high inflation,such as the 1979-1980 period,the existence of usury laws may cause

Faster economic growth imposes an opportunity cost in the form of

Economists generally assume that faster economic growth is negative for society.

People who failed to look for a job are classified as

Americans viewed the 12 percent mortgage interest rates of the 1980s as exorbitantly high while they considered the 7 percent mortgage interest rates of the late 1990s as reasonable.This represents a confusion of

As inflation rates increase,shoppers will be forced to

A decrease in the capital stock would be expected to

During inflationary periods

The reduction of structural unemployment in the United States' economy may require

Cyclical unemployment occurs when real GDP falls below potential GDP.

Throughout the period from 1996 to 2010,U.S.Real GDP growth has been