Multiple Choice
Which statement is correct?
A) A movement along the AD curve results from a price change
B) The AS curve will shift leftwards if the labour force decreases
C) If there is excess aggregate demand at the current price level, the price level will rise
D) The long-run AS curve shows each firm is producing at its capacity and there is full employment
Correct Answer:
Verified
Correct Answer:
Verified
Q32: Which of the following statements about aggregate
Q33: Aggregate demand is negatively related to interest
Q34: The combination of rising unemployment and rising
Q35: When production costs rise, in the short
Q36: Starting with AD₁ and AS<sub>1</sub> in the
Q38: Which of the following is a policy
Q39: A short period of falling incomes and
Q40: A fall in the price level causes
Q41: The upward slope of the aggregate-supply curve
Q42: When inflation is decreasing, prices are falling.