In the above figure, the economy is at point A when changes occur. If the new equilibrium has a price level of 100 and real GDP of $17.0 trillion, then it must be the case that
A) aggregate demand has decreased.
B) aggregate supply has decreased.
C) aggregate demand has increased.
D) aggregate supply has increased.
D
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Which of the following statements is true?
A. When the forces of supply and demand determine for whom goods are produced in a society, an equitable distribution of income will naturally result. B. An external benefit will occur when a third party enjoys some of the benefits derived from production of some good or service. C. One of the roles of the United States government is to provide a job to any able-bodied person who wants a job. D. The price mechanism will work well if there are at least two companies that are competing against each other.
Let Edt = -0.5. This implies that the demand for t is
A. inelastic, because if Pt decreases by $1, Qdt will increase by 0.5 units. B. inelastic, because if Pt decreases by 1 percent, Qdt will increase by 0.5 percent. C. elastic, because if Pt decreases by 1 percent, Qdt will decrease by 0.5 percent. D. elastic, because if Pt increases by 1 percent, Qdt will decrease by 0.5 percent.
Greenaqua Corp . was given the exclusive right to produce and sell its newly introduced water purifier for 20 years. The right granted to Greenaqua is an example of a:
A) patent. B) blueprint. C) copyright. D) trademark.
Which of the following can be concluded about the long-run performance of the U.S. economy? a. It has been able to create employment opportunities but only at the cost of high inflation. b. It has failed to generate sufficient aggregate demand in the economy
c. It has been one of the most productive economies in the world in terms of growth in real GDP. d. It has focused fiscal policies mostly at improving aggregate supply. e. It has suffered from huge fiscal deficits that dampened economic growth.