Author Question: If the equilibrium price level is 135 but the actual price level is 150, then A) firms increase ... (Read 85 times)

a0266361136

  • Hero Member
  • *****
  • Posts: 538
If the equilibrium price level is 135 but the actual price level is 150, then
 
  A) firms increase their production because they are able to sell their output at a higher than expected price.
  B) aggregate demand will decrease to restore equilibrium.
  C) aggregate demand will increase to restore equilibrium.
  D) the quantity of real GDP demanded is less than the quantity of real GDP supplied.
  E) the quantity of real GDP demanded is greater than the quantity of real GDP supplied.

Question 2

The above table gives data for the nation of Mouseville. There are no imports into or exports from Mouseville. Aggregate planned expenditure is less than actual expenditure if real GDP is
 
  A) less than 700 billion.
  B) more than 800 billion.
  C) 800 billion.
  D) less than 800 billion.
  E) more than 700 billion.



C.mcnichol98

  • Sr. Member
  • ****
  • Posts: 314
Answer to Question 1

D

Answer to Question 2

B



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Illness; diuretics; laxative abuse; hot weather; exercise; sweating; caffeine; alcoholic beverages; starvation diets; inadequate carbohydrate consumption; and diets high in protein, salt, or fiber can cause people to become dehydrated.

Did you know?

Women are two-thirds more likely than men to develop irritable bowel syndrome. This may be attributable to hormonal changes related to their menstrual cycles.

Did you know?

Bacteria have been found alive in a lake buried one half mile under ice in Antarctica.

Did you know?

The human body's pharmacokinetics are quite varied. Our hair holds onto drugs longer than our urine, blood, or saliva. For example, alcohol can be detected in the hair for up to 90 days after it was consumed. The same is true for marijuana, cocaine, ecstasy, heroin, methamphetamine, and nicotine.

Did you know?

Opium has influenced much of the world's most popular literature. The following authors were all opium users, of varying degrees: Lewis Carroll, Charles, Dickens, Arthur Conan Doyle, and Oscar Wilde.

For a complete list of videos, visit our video library