Which of the following is true?
A) At full employment, aggregate supply is equal to potential GDP.
B) Aggregate supply is another name for potential GDP.
C) Potential GDP decreases as the price level increases.
D) The potential GDP line has a negative slope.
E) Potential GDP increases as the price level increases.
A
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Refer to the scenario above. If they are the only bidders in the auction, Tom will no longer bid when bidding reaches ________
A) $200 B) $210 C) $350 D) $500
In a perfectly competitive industry,
a. the market price is determined at the intersection of the market supply and demand curves b. the typical firm will just break even in the short run c. a rise in the market price will attract new entrants d. economics profits are a signal for new consumers to enter e. each firm faces the downward sloping market demand curve
Which of the following is not included in the current account?
A. exports of goods B. imports of goods C. U.S. capital inflow and outflow D. unilateral transfers
If net exports decline from zero to some negative amount, the aggregate expenditures schedule would:
A. shift upward. B. shift downward. C. not move (net exports do not affect aggregate expenditures). D. become steeper.