The aggregate supply curve represents:
a. the quantity of aggregate output that producers are willing and able to supply at each possible price level.
b. the total quantity of a particular good that all producers are willing to supply at each possible price level.
c. the total quantity of a particular good that all producers are willing to supply at the equilibrium price level.
d. the quantity of aggregate output that producers are willing and able to supply at the equilibrium price level.
e. the quantity of aggregate output that producers are willing and able to supply at the equilibrium level of GDP.
Question 2
Cartel agreements are difficult to maintain because individual members:
a. can gain by raising their price above the price that is best for the cartel.
b. are often unable to police the price and output policies of other members.
c. can gain by secretly raising their price above the price that is best for the cartel.
d. can enforce price arrangements vigorously in court.
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