Ceteris paribus, a leftward shift of the aggregate supply curve will cause the equilibrium price level to _______ and equilibrium real output to _______.
A. Increase; increase
B. Increase; decrease
C. Decrease; increase
D. Decrease; decrease
B. Increase; decrease
You might also like to view...
Corporations have the disadvantage of (i) double taxation; (ii) unlimited liability
a. i and ii b. i not ii c. ii not i d. neither i nor ii
Fiscal policy affects
A. Interest rates only, and therefore does not affect the level or mix of output. B. Both the level and the mix of output. C. The level of output only. D. The mix of output only.
Libor is best defined as the ________.
A) interest rate of the National Bank of London B) short-term interest rate for dollars held in the Eurodollar market C) interest rate of the European Union D) deposit rate that applies to commercial loans in the European Union
In the long run, the main reason that a monopolist can earn positive economic profits while a perfectly competitive firm cannot is:
A. monopolists enjoy greater economies of scale. B. there are no barriers to entry in a perfectly competitive market. C. the monopolist faces an inelastic demand for its product. D. perfectly competitive firms face greater opportunity costs.