What is happening at point B?
a. RGDP has just increased to $16.0 trillion.
b. The economy has just moved to equilibrium at $16.1 trillion.
c. Consumer spending has just fallen by $100 billion.
d. Business investment has just risen by $100 billion.
d. Business investment has just risen by $100 billion.
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Refer to Figure 7-3. With a quota in place, what is the quantity supplied by domestic producers?
A) 16 million pounds B) 18 million pounds C) 28 million pounds D) 34 million pounds
Monopolistically competitive firms may not be able to produce goods at the lowest possible average cost. This statement is describing how monopolistically competitive firms might be _____.
(A) Without economies of scale. (B) Unable to engage in price fixing. (C) Lacking differentiation. (D) Unsuccessful at nonprice competition.
What are the definition and purpose of potential GDP?
What will be an ideal response?
Which of the following does NOT help explain why oligopolies exist?
A. product homogeneity B. mergers C. barriers to entry D. economies of scale