The immediate effects of a discretionary increase in government spending are represented by a:
a. rightward shift of the aggregate demand curve.
b. leftward shift of the aggregate demand curve.
c. rightward shift of the Phillips curve
d. leftward shift of the Phillips curve.
e. movement along the Phillips curve.
e
You might also like to view...
If the inflation rate is 5 percent and the real rate of interest is 3 percent, the nominal interest rate is
A) 8 percent. B) 5 percent. C) 3 percent. D) 2 percent.
Net capital outflow is the purchase of domestic assets by foreign residents minus the purchase of foreign assets by domestic residents
a. True b. False Indicate whether the statement is true or false
To answer the question, refer to the following figure, showing the marginal revenue product (MRP) and the average revenue product (ARP) curves of a perfectly competitive firm hiring a single variable input, labor.
If the wage is above ________, the firm will shut down and hire zero workers in the short run.
A. $30 B. $32 C. $34 D. $41
How much is the firm's output at the break-even point?
