If real GDP is greater than potential GDP,then to restore equilibrium,________ and the price level ________.
A) the aggregate demand curve shifts leftward;rises
B) the aggregate demand curve shifts rightward;falls
C) the aggregate supply curve shifts leftward;rises
D) the aggregate supply curve shifts rightward;falls
E) potential GDP increases;falls
Correct Answer:
Verified
Q139: Q140: A tax increase Q141: If investment spending increases by $1 million,then Q142: A change in any of the following Q143: When the quantity of real GDP demanded Q145: According to the AS-AD model, Q146: In its macroeconomic equilibrium,the economy can be Q147: If the economy is at macroeconomic equilibrium,then Q148: When the price level rises there is Q149: Macroeconomic equilibrium occurs when
A)decreases aggregate demand and the
A)the aggregate quantity
A)there is no inflation.
B)real
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