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

Author Question: The rate at which aggregate supply changes to restore equilibrium at potential output depends ... (Read 145 times)

ENagel

  • Hero Member
  • *****
  • Posts: 540
on: Jun 30, 2018
The rate at which aggregate supply changes to restore equilibrium at potential output depends crucially on:
 a. how quickly planned investment spending adjusts to changes in population growth.
 b. how quickly planned consumption spending adjusts to changes in the price level and nominal wages.
  c. how quickly technology changes to increase aggregate supply.
 d. whether the economy is experiencing a recessionary gap or an expansionary gap.
 e. how quickly real wages adjust to restore full employment in the labor market.

Question 2

For a given increase in aggregate demand, the steeper the short-run aggregate supply curve:
 a. the larger the increase in investment expenditure.
  b. the smaller the increase in the price level.
 c. the smaller the increase in real GDP.
 d. the larger the increase in real GDP.
 e. the smaller the increase in real interest rate.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Pamela.irrgang@yahoo.com

  • Sr. Member
  • ****
  • Posts: 323
Reply #1 on: Jun 30, 2018
Answer to Question 1

e

Answer to Question 2

c


ENagel

  • Member
  • Posts: 540
Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

adf223

  • Member
  • Posts: 304
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Famous people who died from poisoning or drug overdose include, Adolf Hitler, Socrates, Juan Ponce de Leon, Marilyn Monroe, Judy Garland, and John Belushi.

Did you know?

Common abbreviations that cause medication errors include U (unit), mg (milligram), QD (every day), SC (subcutaneous), TIW (three times per week), D/C (discharge or discontinue), HS (at bedtime or "hours of sleep"), cc (cubic centimeters), and AU (each ear).

Did you know?

When blood is deoxygenated and flowing back to the heart through the veins, it is dark reddish-blue in color. Blood in the arteries that is oxygenated and flowing out to the body is bright red. Whereas arterial blood comes out in spurts, venous blood flows.

Did you know?

The Romans did not use numerals to indicate fractions but instead used words to indicate parts of a whole.

Did you know?

A strange skin disease referred to as Morgellons has occurred in the southern United States and in California. Symptoms include slowly healing sores, joint pain, persistent fatigue, and a sensation of things crawling through the skin. Another symptom is strange-looking, threadlike extrusions coming out of the skin.

Plant cell water potential. Plant cell water potential.
Cougar conservation depends on preservation of their habitat. Cougar conservation depends on preservation of their habitat.
Potential applications of embryonic and tissue specific adult stem cell in cellular and gene theraph Potential applications of embryonic and tissue specific adult stem cell in cellular and gene theraph
How would you rate your overall health?” The percent of adults answering “excellent” or ... How would you rate your overall health?” The percent of adults answering “excellent” or ...
Calcium channels and muscle contraction: (a) Calcium channels open as the action potential travels ... Calcium channels and muscle contraction: (a) Calcium channels open as the action potential travels ...
Determining the order and rate constant of an irreversible first-order reaction Determining the order and rate constant of an irreversible first-order reaction
Video: Resting membrane potential - electrical polarity and maintenance requirements

For a complete list of videos, visit our video library