Multiple Choice
11.3 The Final Equilibrium
Refer to the information provided in Figure 11.6 below to answer the questions that follow. Figure 11.6
-Refer to Figure 11.6. Suppose the equilibrium output is initially $600 billion. A decrease in wages and an increase in government spending will, for sure, increase
A) both the equilibrium output and the price level.
B) the price level.
C) equilibrium output.
D) equilibrium output and decrease the price level.
Correct Answer:

Verified
Correct Answer:
Verified
Q201: Refer to the information provided in Figure
Q202: Other things equal, a decrease in the
Q203: Other things equal, an increase in government
Q204: If there is an increase in the
Q205: The aggregate supply curve shows the relationship
Q207: A decrease in government spending will decrease
Q208: Refer to the information provided in Figure
Q209: Potential output is the level of aggregate
Q210: Refer to the information provided in Figure
Q211: The Federal Reserve's policy to _ means