Falling output, in the short run, could be due to:
A. an increase in short-run aggregate supply.
B. a reduction in aggregate demand.
C. an increase in long-run aggregate supply.
D. an increase in aggregate demand.
Answer: B
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The unemployment rate is the
A) percentage of employed people that does not have a job. B) number of unemployed people. C) percentage of the working-age population that does not have a job. D) percentage of the labor force that does not have a job. E) percentage of the population that does not have a job.
Expansionary fiscal policy ________ the price level and ________ equilibrium real GDP
A) increases; decreases B) decreases; increases C) decreases; decreases D) increases; increases
Jerry wishes to retire in 5 years with $1 million in his bank account
If the account pays 4% and his current balance is $500,000, how much must he deposit at the beginning of each of the next five years for his wish to come true? The amount must be the same each year.
A person who is unemployed because of a mismatch between the person's skills and current employment requirements is experiencing
A. cyclical unemployment. B. frictional unemployment. C. seasonal unemployment. D. structural unemployment.