Author Question: Following a decline in the inflation rate, once long-term wage contracts are renegotiated and all ... (Read 116 times)

magmichele12

  • Hero Member
  • *****
  • Posts: 559
Following a decline in the inflation rate, once long-term wage contracts are renegotiated and all prices in the economy adjust to their new equilibrium:
 a. the economy will move up the short-run Phillips curve.
  b. the short-run Phillips curve will shift to the left.
  c. the economy will return to the vertical Phillips curve.
  d. the aggregate supply curve will shift to the right.
  e. the aggregate demand curve will shift to the right.

Question 2

Demand for a good is said to be inelastic if the quantity demanded increases substantially when the price falls by a small amount.
 a. True
  b. False
  Indicate whether the statement is true or false



SomethingSomething

  • Sr. Member
  • ****
  • Posts: 323
Answer to Question 1

c

Answer to Question 2

False



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

The National Institutes of Health have supported research into acupuncture. This has shown that acupuncture significantly reduced pain associated with osteoarthritis of the knee, when used as a complement to conventional therapies.

Did you know?

Asthma occurs in one in 11 children and in one in 12 adults. African Americans and Latinos have a higher risk for developing asthma than other groups.

Did you know?

Illness; diuretics; laxative abuse; hot weather; exercise; sweating; caffeine; alcoholic beverages; starvation diets; inadequate carbohydrate consumption; and diets high in protein, salt, or fiber can cause people to become dehydrated.

Did you know?

Congestive heart failure is a serious disorder that carries a reduced life expectancy. Heart failure is usually a chronic illness, and it may worsen with infection or other physical stressors.

Did you know?

Astigmatism is the most common vision problem. It may accompany nearsightedness or farsightedness. It is usually caused by an irregularly shaped cornea, but sometimes it is the result of an irregularly shaped lens. Either type can be corrected by eyeglasses, contact lenses, or refractive surgery.

For a complete list of videos, visit our video library