If the adoption of a new technology led to gains in productivity ________

A) the ensuing positive supply shock would lead to an immediate increase in output
B) in the short-run, the ensuing increase in supply would lower inflation
C) and if this new technology permanently altered the productive capacity of the economy then the increase in output and decrease in inflation would be permanent as well
D) all of the above
E) none of the above


D

Economics

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Assuming supply is a straight line and intersects the y axis, the equation of the inverse supply curve is represented as

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Economics

Within perfect competition, an individual firm _______ affect price by changing output. A market as a whole _______ affect price by changing market output.

Fill in the blank(s) with the appropriate word.

Economics