In the above figure, B is the current long-run aggregate supply curve and E is the current short-run aggregate supply curve
If there is an increase in the full-employment quantity of labor, then the long-run aggregate supply curve and the short-run aggregate supply curve A) remain B and E.
B) shift to A and D, respectively.
C) shift to C and F, respectively.
D) remain at B and shift at F, respectively.
C
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Which aggregate supply curve has a positive slope?
A) both long run and short run B) neither long run nor short run C) short run only D) long run only
The U.S. Postal Service has a monopoly over first-class mail delivery
a. because of economies of scale b. because of its control of essential resources c. because of its control over key patents d. because of government-imposed barriers to entry e. despite its very low fixed costs
Incorporation of expectations into economic decision making indicates that in the long run:
a. inflation relates directly to unemployment. b. inflation is inversely related to unemployment. c. the Phillips curve is vertical at the natural rate of unemployment. d. high unemployment is a primary cause of inflation.
How did the gold standard help countries rectify the balance of payment problem? What were the problems associated with the gold standard?