Short-run aggregate supply is greater than long-run aggregate supply in the misperceptions theory if
A) the actual price level is greater than the expected price level.
B) the actual price level equals the expected price level.
C) the actual price level is less than the expected price level.
D) output is less than its full-employment level.
A
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The study of the choices made by individual households, firms, and government is called
A) managerial economics. B) market economics. C) macroeconomics. D) microeconomics.
Explain whether the statement, "There is life on Mars," is a normative or positive statement
What will be an ideal response?
The price elasticity of demand for purses is measured in what units?
A) dollars B) purses C) dollars per purse D) The price elasticity of demand is a unitless measure.
Any point representing a cost and output combination that is below the long-run average cost curve:
a) may represent actual cost and production levels in the short run. b) represents unattainable cost levels. c) is attainable only when all factors are variable. d) is attainable if the firm minimizes its costs according to the "principle of substitution". e) represents less efficient cost levels than points on the long-run average cost curve.