Suppose the following: (1 ) the wage rate rises, (2 ) the interest rate rises, (3 ) any change in AD is greater than any change in SRAS. Based on this information, in the short run Real GDP will __________ and the price level will __________
A) rise; rise
B) fall; rise
C) fall; fall
D) rise; fall
C
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If there are four goods in a barter economy, then one needs to know ________ prices in order to exchange one good for another
A) 8 B) 6 C) 5 D) 4
Modern research suggests that colonial Americans experienced positive rates of economic growth but not a high quality of life
Indicate whether the statement is true or false
Like Franklin D. Roosevelt (1933–45), William J. Clinton's (1993–2001) deficit-reducing tax hikes pushed the economy into a recession
Indicate whether the statement is true or false
Playing the game in Scenario 13.12 by using a maximin strategy would
A) not change the equilibrium from the equilibrium of the original game. B) change the equilibrium to (R1,C2 ). C) change the equilibrium to (R2,C1 ) if R moved first. D) change the equilibrium to (R2,C1 ) if C moved first. E) change the equilibrium to (R2,C2 ).