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Author Question: An expansionary gap in the short-run results in: a. lower resource prices in the long run. b. ... (Read 75 times)

erika

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on: Jun 30, 2018
An expansionary gap in the short-run results in:
 a. lower resource prices in the long run.
  b. unemployment in the long run.
 c. a recessionary gap in the long run.
 d. cost-push inflation in the long run.
 e. demand-pull inflation in the long run.

Question 2

All other things constant, if the interest rate decreases on account of a monetary policy:
 a. the demand for investment curve shifts to the right.
 b. the demand for investment curve shifts to the left.
 c. there is a downward movement along the demand for investment curve.
  d. there is an upward movement along the demand for investment curve.
  e. real GDP decreases.


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fauacakatahaias

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Reply #1 on: Jun 30, 2018
Answer to Question 1

d

Answer to Question 2

c


erika

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Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

irishcancer18

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  • Posts: 310
Reply 3 on: Yesterday
Great answer, keep it coming :)

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