Multiple Choice
The short-run aggregate supply curve shows ________ while the long-run aggregate supply curve shows ________.
A) potential output; the current inflation rate
B) output; aggregate spending
C) potential output; aggregate spending
D) the current inflation rate; potential output
Correct Answer:

Verified
Correct Answer:
Verified
Q6: Exogenous changes in spending refer to changes
Q7: Which of the following will shift the
Q8: If policymakers deem inflation as being too
Q9: When actual output is less than potential
Q10: At short-run equilibrium inflation _ and output
Q12: Refer to the accompanying figure. <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6547/.jpg"
Q13: A sudden change in the normal behavior
Q14: An increase in interest rates by the
Q15: Graphically an increase in the short-run aggregate
Q16: When no output gap exists actual output