Multiple Choice
If the actual price level exceeds the expected price level reflected in long-term contracts,
A) many firms will find production more profitable than they had expected and will increase the quantity of output supplied.
B) many firms will find production less profitable than they had expected and will decrease the quantity of output supplied.
C) many firms will find production more profitable than they had expected and will decrease the quantity of output supplied.
D) many firms will find production less profitable than they had expected and will increase the quantity of output supplied.
Correct Answer:
Verified
Correct Answer:
Verified
Q40: Within the framework of the AD/AS model,
Q41: For an economy, aggregate demand equals<br>A) consumption
Q42: The market for labor services is included
Q43: If equilibrium is present in the foreign
Q44: When the loanable funds and foreign exchange
Q46: Why do we use two supply curves
Q47: Falling interest rates cause the market value
Q48: Ceteris paribus, a decrease in the U.S.
Q49: When the actual GDP equals the full-employment
Q50: An unexpected sharp reduction in inflation will