This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Which of the following is true when an economy is in long-run equilibrium? a. Actual output can ... (Read 55 times)

jon_i

  • Hero Member
  • *****
  • Posts: 549
on: Jun 30, 2018
Which of the following is true when an economy is in long-run equilibrium?
 a. Actual output can exceed potential output.
 b. Potential output can exceed actual output.
 c. Actual output must equal potential output.
 d. Real GDP must equal nominal GDP.
 e. Expected price level can exceed actual price level.

Question 2

The Fed can close a recessionary gap by:
 a. increasing fiscal expenditure.
 b. increasing taxes.
 c. decreasing taxes.
 d. selling U.S. government bonds.
  e. lowering the discount rate.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Koolkid240

  • Sr. Member
  • ****
  • Posts: 357
Reply #1 on: Jun 30, 2018
Answer to Question 1

c

Answer to Question 2

e


jon_i

  • Member
  • Posts: 549
Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

31809pancho

  • Member
  • Posts: 317
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Adults are resistant to the bacterium that causes Botulism. These bacteria thrive in honey – therefore, honey should never be given to infants since their immune systems are not yet resistant.

Did you know?

There are approximately 3 million unintended pregnancies in the United States each year.

Did you know?

Adult head lice are gray, about ? inch long, and often have a tiny dot on their backs. A female can lay between 50 and 150 eggs within the several weeks that she is alive. They feed on human blood.

Did you know?

Eat fiber! A diet high in fiber can help lower cholesterol levels by as much as 10%.

Did you know?

The most common childhood diseases include croup, chickenpox, ear infections, flu, pneumonia, ringworm, respiratory syncytial virus, scabies, head lice, and asthma.

A young Lipizzan at the Spanish Riding School in training equipment, wearing saddle, bridle and long A young Lipizzan at the Spanish Riding School in training equipment, wearing saddle, bridle and long
This Black-browed Albatross has been hooked on a long-line. This Black-browed Albatross has been hooked on a long-line.
Apply long effleurage stroke to entire arm-hand to shoulder. Brush off from shoulder to hand to ... Apply long effleurage stroke to entire arm-hand to shoulder. Brush off from shoulder to hand to ...
Types of Long-Term Memories Types of Long-Term Memories
Long-term relationships, especially those who are married, having a child Long-term relationships, especially those who are married, having a child
Video: Renin/Angiotensin (water gain from urine & Na ion and water reabsorption)

For a complete list of videos, visit our video library