Starting from long-run equilibrium, an increase in autonomous investment results in ________ output in the short run and ________ output in the long run.
A. lower; potential
B. lower; higher
C. higher; potential
D. higher; higher
Answer: C
You might also like to view...
A statement of stockholders' equity is normally prepared when
a. there is a change in stock accounts. b. there is a change in paid-in capital accounts. c. there is a purchase of treasury stock. d. All of these choices are correct.
Refer to the figure. Consumer surplus before the $4 tax is ________, and consumer surplus after the $4 tax is ________.
Fill in the blank(s) with the appropriate word(s).
If the government's goal is to generate a certain amount of tax revenue, a specific tax and an ad valorem tax on a monopoly have the same impact on social welfare
Indicate whether the statement is true or false
If tariffs contribute to inefficiency in the international allocation of resources and lower output and income, why have nations enacted tariffs?
What will be an ideal response?