Using Figure 1 above, if the aggregate demand curve shifts from AD1 to AD2 the result in the short run would be:
A. P1 and Y2.
B. P3 and Y1.
C. P2 and Y2.
D. P2 and Y3.
Answer: D
You might also like to view...
An aggregate demand curve
A) shifts to the right when the price level increases and to the left when the price level falls. B) shifts to the right when population decreases and shifts to the left when population increases. C) does not shift, unlike individual or market demand curves. D) shifts to the right when any non-price-level factor increases total planned real spending.
The market structure that is characterized by a small number of large firms that have some market power is called:
A) perfect competition. B) monopolistic competition. C) oligopoly. D) monopoly.
If the interest rate is 6 percent, then the present value of $5,000 received ten years from today is $2,583.34
a. True b. False Indicate whether the statement is true or false
If an asset has a future value of $120, a present value of $30, and an interest rate of 4%, how many periods of compounding are there?
A) 45 periods B) 35 periods C) 28 periods D) 100 periods