Multiple Choice
Pessimism
Suppose the economy is in long-run equilibrium. Then because of corporate scandal, international tensions, and loss of confidence in policymakers, people become pessimistic regarding the future and retain that level of pessimism for some time.
-Refer to Pessimism.In the long run,the change in price expectations created by pessimism shifts
A) long-run aggregate supply right.
B) long-run aggregate supply left.
C) short-run aggregate supply right.
D) short-run aggregate supply left.
Correct Answer:
Verified
Correct Answer:
Verified
Q97: Consider the exhibit below for the following
Q98: Pessimism<br>Suppose the economy is in long-run equilibrium.
Q99: Figure 33-5. <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2297/.jpg" alt="Figure 33-5.
Q100: Figure 33-8. <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2297/.jpg" alt="Figure 33-8.
Q101: Pessimism<br>Suppose the economy is in long-run equilibrium.
Q103: Consider the exhibit below for the following
Q104: Recessions in Canada and Mexico would cause<br>A)the
Q105: Economic expansions in Europe and China would
Q106: Pessimism<br>Suppose the economy is in long-run equilibrium.
Q107: Pessimism<br>Suppose the economy is in long-run equilibrium.