A sudden technological breakthrough in an economy would:
a. have no impact on real GDP.
b. cause aggregate demand to fall.
c. lower the natural rate of unemployment.
d. increase the price level.
e. cause aggregate supply to rise.
Question 2
Price elasticity of supply is a measure of the relative responsiveness of the change in price to a change in quantity supplied.
a. True
b. False
Indicate whether the statement is true or false