If potential GDP increases, then in the figure above the potential GDP line ________, and the aggregate supply curve ________
A) does not shift; does not shift
B) shifts rightward; does not shift
C) does not shift; shifts rightward
D) shifts rightward; shifts rightward
E) shifts rightward; shifts leftward
D
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Define the term deadweight loss. Will there be a deadweight loss if a good's marginal cost exceeds its marginal value? Explain.
What will be an ideal response?
Refer to the figure below. In response to gradually falling inflation, this economy will eventually move from its short-run equilibrium to its long-run equilibrium. Graphically, this would be seen as
A. long-run aggregate supply shifting leftward B. Short-run aggregate supply shifting downward C. Aggregate demand shifting rightward D. Aggregate demand shifting leftward
Of the following resources used to supply sidewalk food in New York City, which is the most expensive?
a. capital b. land c. entrepreneurial ability d. labor e. food
According to the World View titled "Income Share of the Rich," in which of the following would the top tenth of the population be most likely to receive the highest percentage of the country's income?
A. Canada. B. Japan. C. South Africa. D. Namibia.