When a supply shock is permanent A) both the long-run and ...

[saliriagwu]

When a supply shock is permanent
 
  A) both the long-run and short-run aggregate supply curves shift leftward.
  B) there are no shifts in either the long-run or short-run aggregate supply curve.
  C) only the long-run aggregate supply curve shifts leftward.
  D) only the short-run aggregate supply curve shifts leftward.

Question 2

If the MPS is one-third, a 100 increase in net exports will
 
  A) reduce real Gross Domestic Product (GDP) by 300.
  B) reduce real Gross Domestic Product (GDP) by 100.
  C) increase real Gross Domestic Product (GDP) by 300.
  D) increase real Gross Domestic Product (GDP) by 33.

[Briannahope]

Answer to Question 1

A

Answer to Question 2

C

[saliriagwu]

Thanks for the timely response, appreciate it

[kswal303]

Excellent