Which of the following occurs as macroeconomic output expands in the short run?
A)the nominal cost of labor increases
B)the demand for nonlabor resources increases
C)equipment wears out faster
D)the nominal cost per unit of output rises
E)All of the answers are correct

Question

Quizplus · Accepted Answer

As macroeconomic output expands in the short run, all these factors can occur: nominal labor costs may rise due to increased demand for workers, demand for nonlabor resources can increase, equipment may wear out faster due to higher usage, and nominal cost per unit of output can rise due to increased input costs.

Which of the Following Occurs as Macroeconomic Output Expands in the Short