Author Question: Other things equal, an increase in aggregate spending tends to be associated with: a. cost-push ... (Read 63 times)

sdfghj · **on:** Jun 30, 2018

Other things equal, an increase in aggregate spending tends to be associated with:
a. cost-push inflation.
b. an economic depression.
c. a lower level of equilibrium real GDP.
d. demand-pull inflation.
e. an increase in the quality of goods and services produced.

Question 2

Which of the following represents a normative statement?
a. A decrease in price leads to an increase in quantity demanded.
b. The study of economics is more important than the study of history.
c. People will buy less butter at 1.50 per pound then they will at 1.00 per pound.
d. As an economy develops, the nation's birth rate tends to fall.