When a macroeconomic aggregate is countercyclical:It grows faster than GDP.It grows slower than GDP.O Its deviations from trend are more often of the opposite sign as the deviations fromtrend in GDP.It doesn't move with changes of the GDP. If the slope of the production function is constant:Marginal productivity of labor decreases.The production function presents constant returns to scale.Marginal productivity of labor increases.Marginal productivity of labor is constant.

A macroeconomic aggregate that is negatively related to the growth of the economy/GDP is a…

When a macroeconomic aggregate is countercyclical: O It grows faster than GDP. O It grows slower than GDP. O Its deviations from trend are more often of the opposite sign as the deviations from trend in GDP. O It doesn't move with changes of the GDP.

When a macroeconomic aggregate is countercyclical: O It grows faster than GDP. O It grows slower than GDP. O Its deviations from trend are more often of the opposite sign as the deviations from trend in GDP. O It doesn't move with changes of the GDP.

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter23: The Aggregate Expenditure Model

Section: Chapter Questions

Problem 12P

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Question

When a macroeconomic aggregate is countercyclical:
It grows faster than GDP.
It grows slower than GDP.
O Its deviations from trend are more often of the opposite sign as the deviations from
trend in GDP.
It doesn't move with changes of the GDP.

If the slope of the production function is constant:
Marginal productivity of labor decreases.
The production function presents constant returns to scale.
Marginal productivity of labor increases.
Marginal productivity of labor is constant.

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