A cost shock, such as a natural disaster, shifts the aggregate supply curve to the left.
Answer the following statement true (T) or false (F)
True
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Empirical evidence indicates that higher real interest rates lead to ________ in savings.
A. modest decreases B. no change in C. substantial increases D. modest increases
How and why did Europe set up its single currency?
What will be an ideal response?
The real cost of owning a home includes certain costs/expenses that many people overlook. Which of the following is NOT such a cost/expense of home ownership?
A) Income lost on cash invested in the home B) Interest paid on borrowed capital C) Maintenance and repair expenses D) Personal property taxes
Comment on the following statement: "The shape of a firm's long-run average cost curve is determined by both external and internal economies (or diseconomies) of scale."
What will be an ideal response?