A decrease in short-run aggregate supply ________ the equilibrium ...

[JMatthes]

A decrease in short-run aggregate supply ________ the equilibrium price level and ________ the equilibrium quantity of real GDP.
 
  A) increases; increases
  B) increases; decreases
  C) decreases; increases
  D) decreases; decreases

Question 2

On the island country of Sunshine where the unit of currency is fish, net exports are 50 fish, saving is 250 fish, net taxes are 100 fish, and the government budget deficit is 175 fish. The private sector has a ________.
 
  A) deficit of 125 fish
  B) surplus of 125 fish
  C) deficit of 225 fish
  D) surplus of 225 fish

[DylanD1323]

Answer to Question 1

B

Answer to Question 2

D

[JMatthes]

TYSM

[Hdosisshsbshs]

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