Suppose that an economy's output does not change from one year to the next, but the price level doubles. What happens to real GDP?
A.
Real GDP doubles
B.
Real GDP is halved
C.
Real GDP doesn't change
D.
There is not enough information to determine what happens to real GDP
C.
Real GDP doesn't change
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Differentiate between an open and a closed economy? Do you agree that the U.S. economy is more open among the advanced industrial countries in the world?
What will be an ideal response?
Negative externalities are costs incurred by: i. buyers ii. sellers iii. someone other than buyers or sellers
a. (i) only b. (ii) only c. (iii) only d. both (i) and (ii)
The demand curve for a monopolist's output is
a. horizontal. b. shallower than the market demand curve. c. steeper than the market demand curve. d. identical to the market demand curve.
Refer to the information provided in Figure 28.7 below to answer the question(s) that follow.
Figure 28.7Refer to Figure 28.7. An expansionary fiscal policy followed by a leftward shift in the AS curve could move the economy from Point A to Point ________, and then to Point ________.
A. B; E B. E; B C. C; D D. D; C