Multiple Choice
The IA line does not shift in the short run because
A) real and potential GDP are not equal.
B) potential GDP does not change.
C) of expectations and staggered wage and price adjustment.
D) real GDP does not change.
E) there is no spending balance.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q63: What is meant by a baseline?<br>
Q64: Which of the following was not a
Q65: Compared to the baseline, the short-run effect
Q66: When government purchases decrease, the short-run effect
Q67: If the Fed is worried about inflation
Q69: According to the economic fluctuations model, what
Q70: If ever real GDP is above potential
Q71: The United States economy never recovered from
Q72: A major that resulted in the leftward
Q73: If government purchases decrease, in the short