If the AD curve shifts rightward while the AS curve and potential GDP don't change, then
A) there will be no change in real GDP, so the economy is at the trough of the cycle.
B) the expansion phase of the business cycle occurs.
C) there will be no change in real GDP, so the economy is at the peak of the cycle.
D) the economy will move from a peak into recession.
E) real GDP does not change.
B
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The J-curve illustrates which of the following?
A) the effects of depreciation on the home country's economy B) the immediate increase in current account caused by a currency depreciation C) the gradual adjustment of home prices to a currency depreciation D) the short-term effects of depreciation on the current account E) the Keynesian view of international trade dynamics
John's demand for McDonald's cheeseburgers is an example of:
a. Market Demand b. Individual Demand c. Category Demand d. Unit Demand
Joe's income this year is 55,000. The consumer price CPI is 110. What Joe's income in term of base year dollars rounded to the nearest dollar?
A. 60,500 B. 53,000 C. 49,800 D. 50,000 E. none
Suppose there is a public good that has market supply characterized by the equation X = (P/3) - (32/3). Suppose further that market demand for this good can be characterized by the equation X = 25 - P. Find the equilibrium quantity of the public good that will be supplied.
What will be an ideal response?