In the above figure, an increase in aggregate demand has resulted in
A) a decline in the price level.
B) economic growth.
C) an inflationary gap.
D) a recessionary gap.
C
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The demand curve of a perfectly competitive firm is vertical
a. True b. False Indicate whether the statement is true or false
A headline reads "Gasoline Prices Are Higher." A likely explanation for this event would be a(n):
a. Decrease in the supply of gasoline and an increase in the demand for gasoline b. Increase in the supply of gasoline and a decrease in the demand for gasoline c. Increase in the demand for and the supply of gasoline d. Decrease in the demand for and the supply of gasoline
Which of the following is not a valid criticism of Fogel's (1964) methodology in his study of railroads?
(a) The canal prices used for 1890 were low. (b) The impact of railroads on financial markets is ignored. (c) The nonpecuniary gains from using railroads could have been considered. (d) The amount of land cultivated would have been reduced.
Sugar price supports primarily benefit consumers
a. True b. False Indicate whether the statement is true or false