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Other Fields Homework Help Economics Topic started by: Frost on Apr 29, 2019



Title: The hypothesis that people know the "true model" of the economy and that they use this model to ...
Post by: Frost on Apr 29, 2019

Question 1.

The economic view that retains the assumption of rational expectations but drops the assumption of completely flexible prices and wages is called



▸ new Keynesian economics.

▸ supply-side economics.

▸ monetarism.

▸ real business-cycle economics

Question 2.

The hypothesis that people know the "true model" of the economy and that they use this model to form their expectations of the future is the



▸ real business cycle hypothesis.

▸ Lucas supply function hypothesis.

▸ rational-expectations hypothesis.

▸ Laffer hypothesis.


Title: The hypothesis that people know the "true model" of the economy and that they use this model to ...
Post by: ShaeTime3 on Apr 29, 2019
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Title: The hypothesis that people know the "true model" of the economy and that they use this model to ...
Post by: Frost on Apr 29, 2019
Brilliant