If aggregate demand and aggregate supply both shift left, we can be sure that the price level is higher in the short run.

a. true
b. false


Ans: b. false

Economics

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A basic tenet of the theory of the firm is that the firm's primary objective is to

A) stay out of debt. B) produce a given level of output at a specified cost. C) maximize economic profits. D) operate for the benefit of society.

Economics

Reunification of East and West Germany created which sequence of events?

I. an increase in German rates of interest II. a boom in German output and a shift to the right of the German IS curve III. large reunification costs financed by increased government spending IV. an increase in rates of interest in ERM nations A) IV, I, III, I B) III, II, I, IV C) I, II, III, IV D) IV, III, II, I

Economics

Which organization meets regularly to establish rules related to international trade?

The United Nations The Bank of America The World Trade Organization The Federal Reserve Board

Economics

Economics is the study of

A. how people allocate their limited resources to satisfy their unlimited wants. B. the way people think rather than the way they act. C. how to own as many resources as possible. D. ceteris paribus.

Economics