This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Moving along the AS curve, the real wage rate is constant while moving along the potential GDP line, ... (Read 116 times)

jon_i

  • Hero Member
  • *****
  • Posts: 549
on: Jun 29, 2018
Moving along the AS curve, the real wage rate is constant while moving along the potential GDP line, the real wage rate changes. Explain whether the previous statement is correct or incorrect.
 
  What will be an ideal response?

Question 2

Refer to the figure above. What is the market-wide consumer surplus when the market price of calculators is 3?
 
  A) 600
  B) 725
  C) 1,000
  D) 1,120


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Sweetkitty24130

  • Sr. Member
  • ****
  • Posts: 291
Reply #1 on: Jun 29, 2018
Answer to Question 1

The statement is incorrect. It reverses the situation. Moving along the AS curve, the money wage rate is constant and so the real wage rate changes. Moving along the potential GDP line, money wage rates have adjusted to the change in the price level and so the real wage rate is constant.

Answer to Question 2

C


jon_i

  • Member
  • Posts: 549
Reply 2 on: Jun 29, 2018
Excellent

pratush dev

  • Member
  • Posts: 321
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Though “Krazy Glue” or “Super Glue” has the ability to seal small wounds, it is not recommended for this purpose since it contains many substances that should not enter the body through the skin, and may be harmful.

Did you know?

The first documented use of surgical anesthesia in the United States was in Connecticut in 1844.

Did you know?

In women, pharmacodynamic differences include increased sensitivity to (and increased effectiveness of) beta-blockers, opioids, selective serotonin reuptake inhibitors, and typical antipsychotics.

Did you know?

Since 1988, the CDC has reported a 99% reduction in bacterial meningitis caused by Haemophilus influenzae, due to the introduction of the vaccine against it.

Did you know?

The lipid bilayer is made of phospholipids. They are arranged in a double layer because one of their ends is attracted to water while the other is repelled by water.

For this bimolecular reaction, the rate constant k is second order For this bimolecular reaction, the rate constant k is second order
Increasing access to care for teen mothers is important because they have a higher rate of pregnancy ... Increasing access to care for teen mothers is important because they have a higher rate of pregnancy ...
Use a vacuum or fuel line hose over the spark plug to install it without danger of cross-threading ... Use a vacuum or fuel line hose over the spark plug to install it without danger of cross-threading ...
Fuel should be heard returning to the fuel tank at the fuel return line if the fuel-pump and ... Fuel should be heard returning to the fuel tank at the fuel return line if the fuel-pump and ...
Direct pressure to deep rotator muscles using the elbow. Use the elbow tip to apply pressure moving ... Direct pressure to deep rotator muscles using the elbow. Use the elbow tip to apply pressure moving ...
Potential Interactions of Medications, Herbs, Nutrients, and Foods (1 of 2) Potential Interactions of Medications, Herbs, Nutrients, and Foods (1 of 2)
Video: Mechanisms of capillary exchange

For a complete list of videos, visit our video library