Multiple Choice
-Consider the above figure. If the aggregate demand fell from AD1 to AD2, our nation would be experiencing
A) an inflationary gap.
B) a recessionary gap.
C) overemployment.
D) rising prices.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q46: One effect of a stronger dollar is<br>A)
Q71: If the equilibrium level of real GDP
Q129: In the Keynesian model which includes the
Q178: In the classical model, how do shifts
Q260: Suppose an economy originally in long-run equilibrium
Q275: An inflationary gap occurs when<br>A) aggregate demand
Q289: What is the shape of the modern
Q325: A temporary increase in the price of
Q341: If the economy is near full capacity,
Q346: A decrease in aggregate demand will cause<br>A)