Solved

The Government Passes a Law Which Doubles the Wages of All

Question 85

Multiple Choice

The government passes a law which doubles the wages of all workers. aggregate supply will --------------------, and real GDP will --------------------, and the price level will-------------------- .


A) increase; remain the same; increase.
B) remain the same; increase; increase.
C) increase; increase; remain the same.
D) decrease; decrease; increase.
E) decrease; increase; increase.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q80: If the money wage rate does not

Q81: Which of the following could result in

Q82: During an inflationary gap,<br>A)the aggregate demand curve

Q83: If potential GDP increases,<br>A)the money wage rate

Q84: An increase in technology<sub>--------------------</sub>potential GDP and<sub>--------------------</sub>

Q86: If the quantity of real GDP demanded

Q87: An increase in<sub>--------------------</sub>increases potential GDP and<sub>--------------------</sub>

Q88: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2787/.jpg" alt=" - In the

Q89: Which of the following statements is correct?<br>A)An

Q90: Moving along the aggregate supply curve, when