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Author Question: Refer to above figures. Prior to the shift of the curves, which panel and which curve involve the ... (Read 94 times)

crobinson2013

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on: Jun 29, 2018
Refer to above figures. Prior to the shift of the curves, which panel and which curve involve the existence of negative externality?
 
  A) Panel 1 and S1
  B) Panel 1 and S2
  C) Panel 2 and D1
  D) Panel 2 and D2

Question 2

In the classical model, a shift to the right in aggregate demand would result in
 
  A) a permanent increase in unemployment.
  B) a permanent increase in real incomes.
  C) an increase in the price level.
  D) a permanent shift past full employment.


komodo7

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Reply #1 on: Jun 29, 2018
Answer to Question 1

A

Answer to Question 2

C


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