When aggregate demand increases, A) the price level is likely ...

[Sufayan.ah]

When aggregate demand increases,
 
  A) the price level is likely to rise as GDP rises.
  B) the price level is likely to fall as GDP rises.
  C) aggregate supply will shift to the right.
  D) aggregate supply will shift to the left.

Question 2

The graphs above show the production possibilities curves for the U.S. and Canada, which both produce cars and wheat. Based on the graphs above, which of the following is true?
 
  A) The U.S. has an absolute advantage in both goods.
  B) Canada has an absolute advantage in cars.
  C) The U.S. has a comparative advantage in cars.
  D) The U.S. has a comparative advantage in wheat.

[IAPPLET]

Answer to Question 1

A

Answer to Question 2

C

[Sufayan.ah]

Thank you

[IAPPLET]

No problemo