A decrease in investment causes the price level to ________ in the short run and ________ in the long run.
A) increase; increase further
B) increase; decrease
C) decrease; decrease further
D) decrease; increase
E) increase; remain at this higher level
Correct Answer:
Verified
Q117: Figure 9.3 Q118: Changes in _ do not affect the Q119: Figure 9.3 Q120: The _ curve is vertical. Q124: Workers and firms both expect that prices Q125: The invention of the integrated circuit by Q127: Explain how each of the following events Q148: What are sticky prices,and how can contracts Q153: The short-run aggregate supply curve is vertical. Q156: An increase in aggregate demand results in
A)short-run aggregate supply
B)short-run
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