Multiple Choice
If real GDP is less than potential GDP, then the --------------------and the price level --------------------
A) aggregate supply curve shifts rightward; falls
B) aggregate demand curve shifts leftward; rises
C) aggregate demand curve shifts rightward; falls
D) amount of potential GDP increases; falls
E) aggregate supply curve shifts leftward; rises
Correct Answer:

Verified
Correct Answer:
Verified
Q5: The aggregate demand curve shifts when any
Q6: As the money wage rate increases,<br>A)potential GDP
Q7: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2787/.jpg" alt=" In the figure
Q8: Over a business cycle, the quantities of
Q9: If the price of oil rises, the<br>A)AD
Q11: According to the AS-AD model,<br>A)the AS curve
Q12: If European economies enter a recession,<br>A)the quantity
Q13: The slope of the aggregate supply curve
Q14: The aggregate supply curve slopes <sub>--------------------</sub>because a<sub>--------------------</sub>
Q15: If the AD curve shifts rightward, then<br>A)the