Multiple Choice
Because decreases in inflation increase planned spending and short-run equilibrium output:
A) the short-run aggregate supply line is downward sloping.
B) the aggregate demand curve is horizontal.
C) the aggregate demand curve is downward sloping.
D) the aggregate demand curve is upward sloping.
Correct Answer:
Verified
Correct Answer:
Verified
Q67: Which of the following will shift the
Q68: A horizontal line showing the current rate
Q69: Graphically long-run equilibrium occurs at the intersection
Q70: At a short-run equilibrium output equals _,
Q71: When the Federal Reserve increases its target
Q73: A downward shift in the Fed's policy
Q74: Graphically inflation shocks shift the _ and
Q75: The aggregate demand curve is downward sloping
Q76: As inflation decreases, households become _ uncertain
Q77: When inflation equals the value determined by