Counter cyclical policies ________

A) increase the intensity of economic fluctuations
B) lead to hyperinflation
C) smooth the rate of growth of the economy over time
D) lower output below its potential level


C

Economics

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When the AE curve shifts upward because the price level falls, the corresponding effect on the aggregate demand curve is

A) a shift rightward of the aggregate demand curve. B) a movement upward along the aggregate demand curve. C) a shift leftward of the aggregate demand curve. D) a movement downward along the aggregate demand curve. E) nothing because aggregate demand does respond to changes in the price level.

Economics

What is economic profit?

What will be an ideal response?

Economics

A lower nominal money supply is equally demanded, given each interest rate, at a ________ level of income, meaning that the LM curve has shifted to the ________

A) higher, left B) higher, right C) lower, left D) lower, right

Economics

Table 10-2 ? Firm A Firm B Firm C Firm D Total revenue (TR) $ 100 150 100 100 Total variable cost (TVC) 180 160 60 140 Short-run nonvariable cost 60 20 60 100 ? Refer to Table 10-2. Which firm is better off staying in business in the short run?

A. Firm A B. Firm B C. Firm C D. Firm D

Economics