Refer to the diagram. Suppose that, as expected, aggregate demand declines from AD 2 to AD 1 . A direct move of the economy from c to a would best reflect:
A. new classical economics.
B. mainstream economics.
C. the real-business-cycle theory.
D. a coordination failure.
A. new classical economics.
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The resource income earned by those who supply labor services is called
A) profit. B) bonus. C) stock options. D) wages and salaries.
Given the information in the table above, Foreign's opportunity cost of widgets is
A) 0.5. B) 2.0. C) 6.0. D) 1.5. E) 3.0.
In an open economy, the demand for loanable funds comes from both domestic investment and net capital outflow
a. True b. False Indicate whether the statement is true or false
Which two curves are tangent to each other in a monopolistically competitive market with zero economic profit?
a. demand and average variable cost b. demand and average total cost c. marginal revenue and average variable cost d. marginal revenue and average total cost