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91) Economics What are the two policy options used to influence the economy? 4 times
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What are the two policy options used to influence the economy?
92) Economics Re: What is the relationship between unemployment and the price level in the short run? 3 times
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In the short run, there is a trade-off between the unemployment rate and the inflation rate. As the economy moves closer to full employment, there will be upward pressure on both wages and prices, which can generate inflationary pressures.
93) Economics What is the relationship between unemployment and the price level in the short run? 3 times
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What is the relationship between unemployment and the price level in the short run?
94) Economics Re: What are the costs associated with inflation? 3 times
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Inflation can redistribute income between those who can raise their prices and wages and those who are unable to do so. Individuals on fixed incomes from pensions or investments will be worse off if these sources of income do not increase with the inflation rate. Borrowers gain and lenders lose with inflation because the payments on loans such as home mortgages, may not increase with inflation. Inflation results in uncertainty about what the real purchasing power of money will be in the future. Inflation also creates difficulties in contracts for future payments, and high inflation may undermine the faith in governments and economic systems entirely.
95) Economics What are the costs associated with inflation? 3 times
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What are the costs associated with inflation?
96) Economics Re: The actual unemployment rate exceeds the natural rate of unemployment. What are policymakers ... 3 times
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If the actual unemployment rate exceeds the natural rate of unemployment, the economy is not operating near its full potential. Policymakers will want to stimulate spending thereby production and employment to move the unemployment rate towards the natural rate.
97) Economics The actual unemployment rate exceeds the natural rate of unemployment. What are policymakers ... 3 times
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The actual unemployment rate exceeds the natural rate of unemployment. What are policymakers concerned about in this situation?
98) Economics Re: The labor force in country XYZ is 10,000,000 and the number of employed is 7,000,000. Calculate ... 3 times
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Labor force = Number of employed + Number of unemployed
10,000,000 = 7,000,000 + Number of unemployed
10,000,000 - 7,000 = 3,000,000

Unemployment rate = (Number of unemployed/Labor force) × 100%
3% = (3,000,000/10,000,000) × 100%
99) Economics The labor force in country XYZ is 10,000,000 and the number of employed is 7,000,000. Calculate the ... 3 times
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The labor force in country XYZ is 10,000,000 and the number of employed is 7,000,000. Calculate the number of unemployed and the unemployment rate.
100) Economics Re: What are some of the issues associated with the consumer price index? 3 times
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The fixed market basket procedure creates a number of problems in the CPI over time. One problem is substitution bias. Consumers will demand various quantities of goods and services in response to changes in their relative prices. Thus, consumers are likely to adjust their purchases more quickly than what is reflected in the relative weights of the expenditure categories in the CPI. This outcome means that the CPI may not reflect the actual price increases faced by consumers over time. A second problem is that the CPI may not adjust adequately for changes in the quality of goods over time and fro the introduction of new goods. If the quality of goods in the market basket improves over time and their prices increase, the index may not recognize that the price increase actually resulted from an increase in the quality of the product.
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