Multiple Choice
Suppose the economy is initially operating at point A in the above figure. Which of the following statements is TRUE?
A) An unexpected reduction in aggregate demand will cause the economy to move from point A to point B in the long run.
B) An unexpected reduction in aggregate demand will cause the economy to move from point A to point B in the short run.
C) An unexpected reduction in aggregate demand will cause the economy to move from point A to point C in the short run.
D) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
Q221: Which of the following statements is consistent
Q222: Structural unemployment is likely to be affected
Q223: In the case of a permanent negative
Q224: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5018/.jpg" alt=" -In the above
Q225: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5018/.jpg" alt=" -Refer to the
Q227: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5018/.jpg" alt=" -In the above
Q228: Which of the following statements concerning price
Q229: Which of the following statements has been
Q230: When workers and employers correctly anticipate the
Q231: Cyclical unemployment is<br>A) the difference between the