The long run equilibrium level of real output increases whenever: ...

[colton]

The long run equilibrium level of real output increases whenever:
 a. AD increases.
 b. SRAS increases.
 c. LRAS increases.
 d. Any of the above occurs.

Question 2

_____, the lesser will be the effect of an increase in government spending on real GDP.
 a. The smaller the crowding-out effect
  b. The smaller the percentage of government spending financed by tax increases
  c. The larger the government budget surplus
  d. The more rapidly money is converted into goods
  e. The steeper the aggregate supply curve

[Kaytorgator]

Answer to Question 1

c

Answer to Question 2

e