In the short run, total spending affects ________, and in the long run total spending affects ________.
A)prices; output
B)prices; unemployment
C)output; prices
D)output; unemployment

Question

Quizplus · Accepted Answer

In the short run, total spending can influence real variables like output. In the long run, however, total spending can only influence nominal variables like prices.

In the Short Run, Total Spending Affects ________, and in the Long