Solved

Suppose Consumers Spend More Than Usual

Question 36

Multiple Choice

Suppose consumers spend more than usual. In the short run, prices will _____; in the long run, prices will _____ from its starting point.

A) increase; remain unchanged
B) increase; increase
C) remain unchanged; decrease
D) remain unchanged; increase

Related Questions

Q19: _ inflation occurs when a supply shock

Q31: Which of the following statements is correct?<br>A)

Q32: All of the following would cause a

Q33: (Figure: Determining SRAS Shifts) If there are

Q35: Which of the following would NOT cause

Q39: (Figure: Determining SRAS Shifts 2) <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7132/.jpg"

Q41: Which of the following would NOT cause

Q63: If the price level is stable and

Q69: An increase in interest rates will cause

Q197: Output increases if aggregate demand _ and