Aggregate demand:
A. Refers to the collective behavior of all buyers.
B. Reflects the total quantity of output produced.
C. Increases when the price level increases.
D. Is influenced directly by aggregate supply.
A. Refers to the collective behavior of all buyers.
You might also like to view...
Over the last 50 years, the poor have:
A. become richer at a slower rate than the rich, and so inequality has grown. B. become richer at a slower rate than the rich, and so inequality has decreased. C. become richer at the same rate as the rich, and so inequality has stayed the same. D. become poorer, while the rich have become richer, and so inequality has grown.
Why is the short run labor demand curve less elastic relative to the long run labor demand curve?
A. Labor is a normal good. B. Isoquant lines get shallower when the wage increases. C. Firms care about changes in wages in the short run but not in the long-run. D. A perfectly competitive firm can always pay lower wages in the long run. E. Firms are better able to substitute capital for labor in the long run compared to the short run.
Assume that in the short run a firm is producing 100 units of output, has average total costs of $100, and average variable costs of $50. The firm's total fixed costs are
A) $50. B) $5,000. C) $150. D) $15,000.
Related to the Economics in Practice on page 294: The Department of Justice's case against the Taiwanese firm AU Optronics was centered around
A. product dumping. B. price fixing. C. breaking its monopoly. D. illegal mergers.