-Refer to the figure above to answer this question.If the economy was initially at point a,then what would a movement to point b suggest?
A) The movement could be the result of an increase in aggregate demand.
B) The movement could be the result of a decrease in prices.
C) The movement could be the result of a decrease in wages.
D) It is a movement from one full-employment level of Real GDP to another.
E) The movement could be the result of expansionary monetary policy.
Correct Answer:
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Q114: What does the real-balances effect mean?
A)A higher
Q115: Q116: Table 5.2 shows the aggregate demand and Q117: What are the four components of aggregate Q118: Which of the following is true of Q120: What is the slope of the aggregate Q121: Which of the following is the result Q122: A high interest rate will lead to: Q123: What is real wage? Q124: According to Keynesian economists,why are prices and
A)low
A)It is equal to
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