Multiple Choice
If the price level in an economy turns out to be higher than that expected by workers and firms, _____.
A) firms increase production.
B) the economy's potential output level increases.
C) the economy's short-run aggregate supply curve shifts rightward.
D) the economy's short-run aggregate supply curve shifts leftward.
E) a recessionary gap develops.
Correct Answer:
Verified
Correct Answer:
Verified
Q1: Which of the following is true of
Q22: Which of the following occurs when an
Q83: Potential output is the amount produced when:<br>A)firms'
Q138: Which of the following is true in
Q147: An increase in the federal minimum wage
Q189: Exhibit 10.1<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB1006/.jpg" alt="Exhibit 10.1
Q192: The long run is the period of
Q196: Exhibit 10.5<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB1006/.jpg" alt="Exhibit 10.5
Q197: Given the aggregate demand curve, an increase
Q198: Unexpected events that reduce aggregate supply, sometimes