Macroeconomic equilibrium occurs when the quantity of real GDP _______ equals the quantity of _______
A. demanded; real GDP supplied
B. demanded; potential GDP
C. supplied; potential GDP
D. demanded; real GDP supplied and potential GDP
A Macroeconomic equilibrium occurs where the AD curve in-tersects the AS curve, which is the point at which the quantity of real GDP demanded equals the quantity of real GDP sup-plied.
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Technological progress directly raises output, but also slows capital deepening
Indicate whether the statement is true or false
The table above shows the marginal costs and marginal benefits of college education. If the market for college education is perfectly competitive and unregulated, at the equilibrium quantity, the marginal private cost is
A) zero. B) $14,000. C) $19,000. D) $16,000.
Lower nominal interest rates ________ the amount of money demanded and a lower price level ________ the amount of money demanded.
A. increase; does not change B. decrease; decreases C. increase; increases D. increase; decreases
Discuss the components of GDP using the expenditure approach.
What will be an ideal response?