Multiple Choice
The federal government increases spending by $50 billion and the main effect is an increase in the price level.It must be t that the economy is operating on the
A) horizontal portion of the aggregate demand curve.
B) horizontal portion of the aggregate supply curve.
C) vertical portion of the aggregate supply curve.
D) vertical portion of the aggregate demand curve.
Correct Answer:
Verified
Correct Answer:
Verified
Q2: Stagflation is the conjunction of<br>A)stagnation and recession.<br>B)inflation
Q33: Figure 10-4<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2282/.jpg" alt="Figure 10-4
Q55: The underlying cause of inflation is<br>A)labor unions
Q65: Figure 10-1<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8592/.jpg" alt="Figure 10-1
Q79: An inflationary gap will occur when<br>A)real GDP
Q99: A change in the aggregate price level
Q114: Figure 10-6<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8592/.jpg" alt="Figure 10-6
Q156: Many economists are in favor of increased
Q168: During 2008-2010, the U.S.economy showed signs of
Q222: The aggregate demand and aggregate supply curve