Multiple Choice
Bottlenecks will occur when:
A) The output gap is large and the aggregate supply curve is horizontal.
B) The output gap is small and the aggregate supply curve is vertical.
C) The output gap is small and the aggregate supply curve is horizontal.
D) The output gap is large and there is a decrease in aggregate demand.
Correct Answer:
Verified
Correct Answer:
Verified
Q2: Higher tax rates:<br>A) Reduce the opportunity cost
Q3: Why do governments accept a target inflation
Q4: An example of deregulation is:<br>A) Allowing different
Q5: Which term describes the selling off of
Q6: Shifting the aggregate demand curve to the
Q8: Market orientated supply policies aim to improve
Q9: The aggregate supply curve can shift because
Q10: The trade-off between an increase in both
Q11: Which is not an example of a
Q12: Supply-side policies became a focus of many