Falling output, in the short run, could be due to:

A. an increase in short-run aggregate supply.
B. a reduction in aggregate demand.
C. an increase in long-run aggregate supply.
D. an increase in aggregate demand.


Answer: B

Economics

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Higher milk prices reduce the demand for milk

a. True b. False Indicate whether the statement is true or false

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Indicate whether the statement is true or false

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Refer to the below graph. If the price increases from P1 to P2, then the total revenue will gain area:



A. B + E, but it will lose area H + I + J
B. C + F + H, but it will lose area J
C. E + F + G, but it will lose area J
D. A + B + C, but it will lose area G + I + J

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