When the economy is in long-run equilibrium, the price level adjusts so as to equate which two values with one another?
A) total planned real expenditures and total planned production
B) government spending and tax revenues
C) the inflation rate and the unemployment rate
D) import and export spending
A
You might also like to view...
Most Americans believe that families really could get by on the government's definition of minimum needs if they tried hard
Indicate whether the statement is true or false
If a bond pays 11.5 percent interest a year and a bank deposit pays 3.5 percent, the opportunity cost of holding the deposit is:
a. 11.5 percent. b. 15 percent. c. 8 percent. d. 3.5 percent. e. 13.5 percent.
Contractionary fiscal policy will lead to an increase in government borrowing.
a. true b. false
Which of the following statements is true about falling birthrates?
A. They tend to lag behind falling death rates, allowing population growth to continue for at least one or two more generations. B. They tend to precede declines in death rates, causing a temporary dip in population before it stabilizes in a generation or two. C. They tend to lag behind declining standards of living. D. They always cause population to decline.