An increase in production costs is most likely to shift the ________.
A. aggregate demand curve to the right
B. aggregate demand curve to the left
C. short-run aggregate supply curve to the left
D. short-run aggregate supply curve to the right
Answer: C
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Only economists and other "social" scientists have areas of dispute within their disciplines
a. True b. False Indicate whether the statement is true or false
Which of the following will most likely occur in the United States as the result of an unexpected rapid growth in real income in Canada and Mexico?
a. an increase in aggregate demand and output in the short run b. an reduction in aggregate demand and output in the short run c. a reduction in the price level d. a decrease in the natural rate of unemployment in the United States
Empirical economics refers to the
A. exclusion of irrelevant data when analyzing a model. B. belief that what is true for a part is necessarily true for the whole. C. model of economics used prior to the Industrial Revolution. D. collection and use of data to test economic theories.
Crowding out is most likely to occur with which of the following changes?
A) Decrease in government spending B) Increase in budget surplus C) Increase in budget deficit D) Decrease in the real interest rate E) Decrease in trade deficit