Multiple Choice
If the economy is in long run equilibrium and aggregate demand increases, then in the short run
A) the price level rises and real GDP does not change.
B) real GDP increases and the price level does not change.
C) nothing happens because the economy is in long run equilibrium.
D) the price level rises and real GDP increases.
Correct Answer:
Verified
Correct Answer:
Verified
Q105: What are the components of fiscal policy?
Q269: Suppose that during 2009, the actual real
Q290: The aggregate demand curve<br>A) is horizontal.<br>B) has
Q291: Which of the following events will increase
Q293: In the short run, the intersection of
Q294: Which school of thought believes that real
Q296: Short-run macroeconomic equilibrium occurs when the quantity
Q297: Which of the following shifts the aggregate
Q298: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6802/.jpg" alt=" -In the above
Q365: A monetarist economist believes that if the