In the above figure, when the economy is in a long-run equilibrium, real GDP will be

A) $15.5 trillion.
B) $16.0 trillion.
C) $17.5 trillion.
D) $17.0 trillion.


B

Economics

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Jon's income-consumption curve is a straight line from the origin with a positive slope. Now suppose that Jon's preferences change such that his income-consumption curve remains a straight line but rotates 15 degrees clockwise

Jon's demand curve for the good on the horizontal axis A) will shift left. B) will shift right. C) will not change. D) might do any of the above.

Economics

In a Mexican factory, each worker can produce 1/8 of a vase or 1/16 of a statue per hour. If there are 400 workers at the factory, the opportunity cost of one vase is

a. 2 statues b. 8 statues c. 1/2 of a statue d. 16 statues e. 1/16 of a statue

Economics

As chief financial officer you sell newly issued bonds on behalf of your firm. Your firm is

a. borrowing directly. b. borrowing indirectly. c. lending directly. d. lending indirectly.

Economics

The value of money in the United States is based on the stocks of precious metals held by the U.S. government.

Answer the following statement true (T) or false (F)

Economics