Refer to the figure below.________ inflation will eventually move the economy pictured in the diagram from short-run equilibrium at point ________ to long-run equilibrium at point ________. 
A. Rising; A
B. Falling; A; C
C. Falling; B: C
D. Rising; A; C
Answer: B
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a. True b. False Indicate whether the statement is true or false
State two examples of government-created monopolies
A consequence of adverse selection for the insurance market is that:
A. risk-seeking individuals typically pay higher premiums than risk-averse individuals. B. everyone ends up paying lower premiums. C. everyone ends up paying higher premiums. D. risk-averse individuals typically pay higher premiums than risk-seekers.
Betty is maximizing her satisfaction from spending her budget on two items: movie rentals and music downloads. If the marginal utility she receives from the last movie rental is twice that from the last music download, what is the price of a movie rental if the price of a music download is $0.80?
A. $0.40 B. $1.60 C. $0.80 D. $1.20