Author Question: The SAS curve and the LAS curve A) intersect at potential GDP. B) are parallel at potential GDP. ... (Read 81 times)

lbcchick · **on:** Jun 29, 2018

The SAS curve and the LAS curve

A) intersect at potential GDP.
B) are parallel at potential GDP.
C) are perpendicular to one another at potential GDP.
D) None of the above answers is correct.

Question 2

If households expect an increase in their future incomes, they will save

A) less and consume more today.
B) more and consume less today.
C) and consume more today.
D) and consume less today.