Multiple Choice
When the economy is in long-run equilibrium, the price level adjusts so as to equate which two values with one another?
A) import and export spending
B) the inflation rate and the unemployment rate
C) government spending and tax revenues
D) total planned real expenditures and total planned production
Correct Answer:

Verified
Correct Answer:
Verified
Q105: What is measured on the vertical axis
Q106: If a nation's production possibilities curve shifts
Q107: When the price level falls<br>A) imports increase,
Q108: The aggregate demand curve plots<br>A) desired expenditures
Q109: Another term for the real-balance effect is<br>A)
Q111: A higher domestic price level should<br>A) decrease
Q112: If the price level increases, then<br>A) the
Q113: The interest rate effect operates through<br>A) credit
Q114: The long-run aggregate supply curve is<br>A) horizontal
Q115: If aggregate demand is stable and there