In the aggregate demand and aggregate supply model,
a. the factors that cause the demand curves in both models to slope downward are the same.
b. the factors that cause the supply curves in both models to slope upward are the same.
c. the upward-sloping aggregate demand curve intersects the downward-sloping aggregate supply curve to determine the economy's price level and GDP.
d. the upward-sloping aggregate supply curve intersects the downward-sloping aggregate demand curve to determine the economy's price level and GDP.
e. the price level never changes even with shifts in aggregate demand and aggregate supply.
d
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According to the text, there are three ways the government can help increase the accumulation of knowledge capital. What are they?
A) encouraging the use of trade secrets, expanding student loan programs, and increasing the minimum wage B) reducing taxes on capital, increasing Social Security payments, and lowering the exchange rate C) increasing taxes on firms, eliminating patents, and increasing the minimum wage D) protecting intellectual property rights, subsidizing research and development, and subsidizing education
A country cannot produce a mix of products with a higher value than where
A) the isovalue line is tangent to the production possibility frontier. B) the isovalue line intersects the production possibility frontier. C) the isovalue line is above the production possibility frontier. D) the isovalue line is below the production possibility frontier. E) the isovalue line is tangent with the indifference curve.
Explain the issues involved with the Fed acting as a lender of Last Resort (LLR)
What will be an ideal response?
Since 1950, the standard of living in the United States has:
A. decreased when measured by both total output and output per person. B. increased when measured by both total output and output per person. C. increased when measured by output per person, but decreased when measured by total output. D. decreased when measured by output per person, but increased when measured by total output.