In the Classical model, what is certain to shift the aggregate demand curve?
A) A rise in the price level
B) A rise in real GDP
C) A rise in the money supply
D) A rise in government expenditure
C
You might also like to view...
Social Security tax is deducted from your paycheck. In the figure above, this will be shown as
A) taxes flowing from households to firms. B) taxes flowing from households to governments. C) wages flowing from firms to governments. D) wages flowing from firms to households. E) taxes flowing from firms to governments.
Refer to Figure 24-3. Suppose the economy is at point C. If government spending decreases in the economy, where will the eventual long-run equilibrium be?
A) A B) B C) C D) D
One way in which politicians have tried to cut federal spending and borrowing was to refuse to
a. lower the legal debt limit. b. default on Treasury bonds. c. raise the legal federal debt limit. d. issue additional Treasury bonds.
Which principle states that as the production of one good expands, the opportunity cost of producing another unit of this good generally increases?
a. Principle of total cost b. Principle of increasing cost c. Principle of opportunity cost d. Principle of increasing marginal utility