The size of changes in output and price level, and how the change in equilibrium relates to potential GDP, depends on whether the shift in the _____ curve is happening in the relatively flat or relatively steep portion of the _____ curve.
a. AD; AD
b. AS; AS
c. AD; AS
d. AS; AD
c. AD; AS
You might also like to view...
Income in the form of goods and services is
A) known as money income. B) known as income in kind. C) not considered income by economists. D) not part of wealth.
The M2 measure of the money supply includes
a. M1 plus credit cards. b. M1 plus savings deposits, small time deposits, and money market funds. c. M1 plus Eurodollars. d. M1 minus Eurodollars.
In a competitive market free of government regulation,
a. price adjusts until quantity demanded is greater than quantity supplied. b. price adjusts until quantity demanded is less than quantity supplied. c. price adjusts until quantity demanded equals quantity supplied. d. supply adjusts to meet demand at every price.
The GAP ratio is a measure of __________ risk
A) credit B) leverage C) interest rate D) liquidity