Solved

In the Short-Run Macroeconomic Equilibrium

Question 72

Multiple Choice

In the short-run macroeconomic equilibrium


A) real GDP equals potential GDP and aggregate demand determines the price level.
B) the price level is fixed and short-run aggregate supply determines real GDP.
C) real GDP and the price level are determined by short-run aggregate supply and aggregate demand.
D) real GDP is always less than potential GDP.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q67: The U.S. exchange rate rises. As a

Q68: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q69: Long-run aggregate supply will decrease for all

Q70: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q71: The aggregate demand curve shows<br>A) total expenditures

Q73: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q74: When the economy is at an above-full-employment

Q75: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q76: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The curve labeled

Q77: Which of the following shifts the aggregate