To reach general equilibrium, the price level adjusts to shift the ________ until it intersects with the ________
A) IS curve; FE line and LM curve
B) FE line; LM and IS curves
C) LM curve; FE line and IS curve
D) ND curve; FE line and NS curve
C
You might also like to view...
Countries with the highest degrees of governmental bureaucratic inefficiency index
A) typically are nations with the highest real GDP per capita. B) typically are nations with the lowest real GDP per capita. C) normally have the lowest measured levels of dead capital. D) normally have the highest measured levels of economic freedom.
In 2011, approximately how much of federal government spending went to income security?
a. 10% b. 25% c. 33% d. 50%
If the amount of time spent procrastinating and the performance on an exam are inversely related, then
A. more procrastination leads to lower exam grades. B. more procrastination leads to higher exam grades. C. a graph with this relationship would be positively sloped. D. the slope of the line reflecting this relationship will be 0.
Which of the following is true?
A. Frictional unemployment implies a lack of available jobs. B. During a recession, cyclical unemployment will be low. C. When an economy is at full employment, actual unemployment will be less than the natural rate of unemployment. D. When actual GDP equals potential GDP, the actual unemployment rate will equal the economy's natural rate of unemployment.