The widespread problems in financial markets during the Great Recession negatively affected key institutions in the macroeconomy.In addition,the financial regulations that were put in place restricted banks' ability to lend at levels equal to those in effect prior to 2008.This resulted in a shift ________ of the ________ curve.
A) leftward; aggregate demand
B) leftward; long-run aggregate supply
C) rightward; long-run aggregate supply
D) rightward; aggregate demand
E) rightward; short-run aggregate supply
Correct Answer:
Verified
Q70: The traditional short-run Phillips curve has _
Q71: The traditional short-run Phillips curve is
A) upward
Q72: Which of the following statements best describes
Q73: The Phillips curve
A) holds that people's expectations
Q74: When both long-run and short-run aggregate supply
Q76: The theory behind the long-run Phillips curve
Q77: _ indicates a short-run inverse relationship between
Q78: Under normal economic conditions,including the situation in
Q79: A _ the aggregate demand curve is
Q80: The long-run Phillips curve is _ and
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