As there is a movement upward and leftward along the AD curve,
a. aggregate expenditure decreases
b. the price level remains constant
c. equilibrium GDP increases
d. aggregate expenditure increases
e. the interest rate falls
A
You might also like to view...
The short-run effect of a sudden increase in stock prices will be
a. an increase in output and a decrease in prices. b. an increase in both output and prices. c. a decrease in both output and prices. d. a decrease in output and an increase in prices.
It is common knowledge that many U.S. national parks have become overused. One possible solution to this problem is to
a. increase entrance fees. b. decrease camping permit fees. c. require all visitors to register upon entering the park. d. sell the land that the parks currently occupy.
Strategies and incentives:
A. do not change when the game is repeated. B. often work quite differently when games are repeated. C. work the same whether games are played once or repeated. D. None of these statements is true.
Business cycles are generally considered in:
A. the long-run framework. B. both the short-run and long-run frameworks. C. the short-run framework. D. neither the short-run nor the long-run frameworks.