Author Question: Which of the following causes a leftward shift in the short-run aggregate supply curve? a. An ... (Read 73 times)

danielfitts88 · **on:** Jun 30, 2018

Which of the following causes a leftward shift in the short-run aggregate supply curve?
a. An increase of goods prices while nominal incomes are unchanged.
b. An increase in nominal incomes (wages and salaries).
c. An increase of full-employment real GDP.
d. An increase of personal consumption expenditures while the price level is unchanged.
e. An increase of personal consumption expenditures while full-employment real GDP is unchanged.

Question 2

The vicious circle of poverty refers to the fact that in LDCs,
a. low living standards lead to declines in population growth.
b. too much spending leads to periods of recession.
c. people are poor because too much is spent on capital goods.
d. there are not enough people in the under-15 age groups.
e. poverty leads to low investment in capital goods.