A relatively flat aggregate demand curve indicates that
A) velocity is relatively constant.
B) the economy is near full employment.
C) inflation is relatively low.
D) spending is sensitive to changes in the price level.
D
You might also like to view...
The smallest single component of M1 is
A) other checkable deposits. B) traveler's checks. C) savings account balances. D) demand deposits.
Refer to the table above. If countries were to trade along the lines of comparative advantage
A) B would export Y to A. B) A would import X from A. C) neither country would want to trade. D) More information is needed to determine the pattern.
The breakdown of the Bretton Woods system occurred because
a. the world economy was basically unhealthy b. the collapse of world gold production undermined the operation of the system c. the gold value of the dollar exceeded the exchange value, causing an outflow of the gold d. the dollar was undervalued e. of the greed of the highly industrialized and wealthy countries of the world
Which of the following is the best example of an artificially scarce good?
a. premium cable channels b. lobster c. college classes d. gasoline