In the aggregate demand and aggregate supply model,
a. the factors that cause the individual demand curve to slope downward are the same as the factors that cause the aggregate demand curve to slope downward.
b. the factors that cause the individual supply curve to slope upward are the same as the factors that cause the short-run aggregate supply curve to slope upward.
c. the upward-sloping aggregate demand curve intersects the downward-sloping short-run aggregate supply curve to determine the economy's price level and GDP.
d. the upward-sloping short-run aggregate supply curve intersects the downward-sloping aggregate demand curve to determine the economy's price level and GDP.
D
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Figure 5-3
Assume the market consists of three consumers with the demand curves in Figure 5-3. At a price of 1, the total market demand is
A. 40. B. 80. C. 140. D. 150.
Inflation is impossible in a commodity money system
a. True b. False Indicate whether the statement is true or false
Falling output, in the short run, could be due to:
A. an increase in short-run aggregate supply. B. a reduction in aggregate demand. C. an increase in long-run aggregate supply. D. an increase in aggregate demand.
The price of a stock will decrease, ceteris paribus, when
A. The supply of the stock decreases. B. Future earnings expectations increase. C. There is a shortage of the stock at the current price. D. The interest rate increases.