Short-run macroeconomic equilibrium occurs when
A)aggregate demand and short-run aggregate supply intersect.
B)the equilibrium lies on the long-run aggregate supply curve.
C)structural and frictional unemployment equal zero.
D)A and B

Question

Quizplus · Accepted Answer

Short-run macroeconomic equilibrium occurs when aggregate demand and short-run aggregate supply intersect. This point represents the level of output where the quantity demanded of goods and services in the economy equals the quantity supplied, taking into account the current level of input prices.

Short-Run Macroeconomic Equilibrium Occurs When