The aggregate supply curve (short run):
A. slopes downward and to the right.
B. graphs as a vertical line.
C. slopes upward and to the right.
D. graphs as a horizontal line.
C. slopes upward and to the right.
You might also like to view...
In the short run, ________ determines output, and in the long run ________ determines output.
A. total spending; potential output B. potential output; total spending C. total spending; prices D. potential output; prices
Use the following graph to answer the next question.
If current output is Q1 and full-employment output is Q3, then in the long run the short aggregate supply schedule is ________.
A. AS1 B. AD C. AS3 D. AS2
Government expenditures are larger than government outlays
a. True b. False
Draw a graph showing the effect of an increase in the saving rate on the production function.
What will be an ideal response?