When the current short-run equilibrium is to the right of the long-run aggregate supply, appropriate discretionary fiscal policy used to address this problem would be to
A. increase government spending.
B. decrease taxes.
C. increase taxes.
D. decrease the discount rate.
Answer: C
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Granting all producers access to transmission lines opened up an effective market for electricity
Indicate whether the statement is true or false
The quantity at which quantity demanded and quantity supplied are equal for a certain price level is known as
a. equilibrium price. b. equilibrium quantity. c. equilibrium rate. d. equilibrium level.
Which of the following statements is true?
A) Special interest groups are more likely to push for policies that increase the size of the economic pie than to increase their slice of the pie. B) Special interest groups are likely to push for policies that increase the size of their slice of the economic pie even if it means that the overall size of the economic pie will shrink. C) Special interest groups are more likely to favor policies that increase the size of their slice of the economic pie than policies that favor economic growth. D) a and c E) b and c
Use the above table and assume a fixed cost of $200. At an output of 4, ATC is
A. $200.
B. $225.
C. $250.
D. $400.