Multiple Choice
Starting from long-run equilibrium,what impact will a decrease in aggregate demand have?
A) It will shift the LRAS curve to the right.
B) It will result in a higher price level.
C) It will decrease unemployment.
D) It will cause a recessionary gap.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q68: How will firms react to rising output
Q69: When there is a temporary sharp reduction
Q70: What could a reduction in LRAS due
Q71: What could a leftward shift of the
Q73: If labour productivity increases by 15 percent,under
Q75: In the short run,what will an increase
Q77: If input prices adjusted just as quickly
Q78: Any permanent change in the quantity of
Q79: What happens to the price level and
Q87: What would happen to the short-run and