Multiple Choice
Because the aggregate supply curve rises more steeply as the economy approaches full employment,
A) Inflation tends to accelerate.
B) The recessionary GDP gap becomes larger.
C) Aggregate demand shifts to the left.
D) It becomes easier to reach full employment.
Correct Answer:
Verified
Correct Answer:
Verified
Q12: Classical economists concluded that<br>A)Spending leakages exceed spending
Q13: A recessionary GDP gap is the<br>A)Horizontal distance
Q14: Keynes believed that abrupt changes in spending
Q15: Investment represents<br>A)A leakage from the circular flow,similar
Q16: Consumer spending<br>A)Is the smallest spending component.<br>B)Impacts the
Q18: How can actual investment be greater than
Q19: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5720/.jpg" alt=" Suppose that as
Q20: Income not spent directly on domestic output
Q21: Which of the following is considered a
Q22: If injections exceed leakages,<br>A)Unemployment will rise.<br>B)Prices will