A long run equilibrium:
a. Will be at a greater output level than the natural level of real output.
b. Will be at the natural level of real output
c. Will be at a smaller output level than the natural level of real output.
d. Long-run equilibrium could be at any of the above levels of output.
b
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What is the present value of $777 in one year if the current rate of interest is 7 percent?
A) $831.39 B) $726.17 C) $457.06 D) $111.00
Refer to Figure 15-9. What is the economically efficient output level?
A) 600 units B) 800 units C) 940 units D) 1160 units
Defenders of advertising argue that firms use advertising as a signal of quality, even if the advertising delivers little helpful information about the product
a. True b. False Indicate whether the statement is true or false
A decrease in individual income taxes ________ disposable income, which ________ consumption spending
A) increases; increases B) increases; decreases C) decreases; increases D) decreases; decreases