An abnormally large grain crop due to highly favorable weather conditions in the midwest is an example of
What will be an ideal response?
A supply shock that will increase short-run aggregate supply.
You might also like to view...
The ________ of a future payment is the amount of money that would need to be invested today to produce the future payments
A) implicit value B) explicit value C) present value D) real value
Refer to the figure shown, which represents the production possibilities frontiers for Countries A and B. After comparing each country's production possibilities curve, it is clear that:
A. Country A should specialize in cars and Country B should specialize in trucks, and both could benefit from trade. B. Country A should specialize in trucks and Country B should specialize in cars, and both will benefit from trade. C. Country A will not benefit from trade. D. Country B will lose by trading with Country A.
Which of the following is not an assumption of the productions possibilities frontier?
a. A country produces only two goods or types of goods. b. Technology does not change. c. The amount of available resources does not change. d. There is a fixed quantity of money.
An externality affecting demand can be measured graphically as the
A. Vertical distance between the market demand curve and the social demand curve. B. Horizontal distance between the market demand curve and the social demand curve. C. Height of the market demand curve at all points. D. Height of the social demand curve at all points.