Which of the following statements is correct?
I. When economists derive the aggregate demand curve, they are looking at the effect of the price level on one commodity only.
II.
Any non-price-level change that increases total planned real spending on domestic goods shifts the AD curve to the right.
A) I only B) II only C) Both I and II D) Neither I nor II
B
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During the "computer revolution" of the 1980s and 1990s, many firms replaced old technology with new technology. What might explain why firms don't change technology as quickly today?
What will be an ideal response?
Which of the following is true of international reserve currencies?
a. They are used for international exchange of goods and services. b. They are used to settle international debt. c. They are used for international bookkeeping. d. They are held for government investment abroad. e. They are created for international stock market trading.
Individual demand curves are summed vertically to obtain the market demand curve
a. True b. False Indicate whether the statement is true or false
The cost a business faces when changing prices in response to an economic shock is called
What will be an ideal response?