Increases in the price of imported oil in 2011 led to a leftward shift of the aggregate supply curve
a. True
b. False
Indicate whether the statement is true or false
True
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Refer to Figure 22.5 below. Suppose that the initial budget constraint AB is given by the equation G = 150 - c/5, where G is the units of public good and c is consumption. A closed- ended matching grant up to 100 units of public good is proposed. If the slope of line segment AD is -2, write the equation of the new budget constraint after a closed-ended matching grant.
The way in which growth occurs affects the pattern of trade of a country
Indicate whether the statement is true or false
In a perfectly competitive market with 100 identical firms producing at market price p1
A) the supply curve is flatter than if there were only 50 identical firms. B) the supply curve is more elastic than if there were only 50 identical firms. C) the firms have identical marginal costs. D) All of the above.
Suppose the dollar appreciates in the foreign exchange markets. What is the impact on U.S. Real GDP?
A) It must rise because dollar appreciation shifts the U.S. AD curve leftward. B) It must fall because dollar appreciation shifts the U.S. SRAS curve rightward. C) It must remain constant since dollar appreciation does not affect either the U.S. AD curve or the U.S. SRAS curve. D) It may rise, fall, or remain constant depending on whether the U.S. AD curve shifts leftward by more, less, or an amount equal to the rightward shift of the U.S. SRAS curve.