Author Question: In the long-run, the price level in the economy will change the same direction as aggregate demand. ... (Read 152 times)

shofmannx20 · **on:** Jun 30, 2018

In the long-run, the price level in the economy will change the same direction as aggregate demand.
a. True
b. False
Indicate whether the statement is true or false

Question 2

When the government's spending is less than tax revenue, it implies that:
a. the government budget is balanced.
b. the government is running a deficit.
c. there is a budget surplus.
d. there is a higher chance of default by the government.
e. the government needs to borrow from the central bank.