Fiscal Policies Typically Affect the Short-Run Level of GDP Because

Multiple Choice

Fiscal policies typically affect the short-run level of GDP because they cause shifts in the ________,but they will not generally have any long-run effects on real GDP unless they affect ________.

A) AS curve; factor-utilization rates
B) AS curve; factor supplies or factor productivity
C) AD curve; factor-utilization rates
D) AD curve; the unemployment rate
E) AD curve; the level of potential output