Refer to the above graph. At price level P2:
A. the quantity of output supplied is constant.
B. the quantity of output supplied is less than the quantity of output demanded.
C. the quantity of output supplied is greater than the quantity of output demanded.
D. the quantity of output supplied is equal to the quantity of output demanded.
Answer: D
You might also like to view...
In real business cycle models, shifts of the aggregate demand curve ________
A) cause changes in inflation, but have no effect on output B) cannot occur C) result from changes in the willingness to work D) result from Solow residuals
The financial account in the U.S. balance of payments includes
A. everything that is included in the current account. B. payments of pensions to U.S. citizens who now live in foreign countries. C. new U.S. investments in foreign countries. D. profits that Nissan of America sends back to Japan.