Why is productivity important? What is inflation, and what causes it? How are inflation and unemployment related in the short run? Describe some of the tradeoffs faced by the following: a. a family...

Why is productivity important?

What is inflation, and what causes it?

How are inflation and unemployment related in the

short run?

Describe some of the tradeoffs faced by the following:

a. a family deciding whether to buy a new car

b. a member of Congress deciding how much to

spend on national parks

c. a company president deciding whether to open a

new factory

d. a professor deciding how much to prepare for class