Based on the figure below. Starting from long-run equilibrium at point C, an increase in government spending that increases aggregate demand from AD to AD1 will lead to a short-run equilibrium at point ________ creating _____gap. 
A. D; an expansionary
B. B; no output
C. B; expansionary
D. A; a recessionary
Answer: A
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The above figure shows the Lorenz curve for wealth for the nation of Rusha. The poorest forty percent of the population own what percent of wealth?
A) 0 percent B) 10 percent C) 20 percent D) 40 percent
The quantity supplied of any good, service, or resource is the amount that people are willing and able to ____ during a specified period and at a specified ____. Question 5 options:
A. buy; quantity B. both buy and sell; price C. buy; price D. sell; price F. sell; quantity
Sara looks into her closet and discovers a pair of like-new shoes she no longer wears because they are out of fashion. From the economist's perspective, was Sara behaving rationally when she bought those shoes?
A. It's not clear because psychology, not economics, deals with the rationality assumption. B. No. If any of a person's decisions have poor results, that person is irrational. C. Yes, Sara didn't buy those shoes when they were out of fashion. D. No. The rationality assumption states that rational people never make mistakes.
To compare the costs of a college education with its monetary benefits, economists use the concept of
A. actual costs and benefits. B. plausible deniability. C. present value. D. enumerated costs and benefits.