Which of the following is true of the aggregate demand curve?
a. The aggregate demand curve shows the various levels of expenditures in the economy at alternative price levels.
b. The aggregate demand curve implies a positive relationship between inflation and unemployment.
c. The aggregate demand curve is identical to the income consumption curve.
d. The aggregate demand curve has the same slope as the aggregate supply curve.
e. The aggregate demand curve relates relative prices to the quantity demanded of a particular good.
a
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Among the reasons that health care expenditures have grown so rapidly in the United States over the last two decades are all of the following EXCEPT
A) an emphasis on wellness programs and preventive medicine. B) the aging of the U.S. population. C) expensive new medical technologies. D) third-party financing.
An empirical study determines that price exceeds marginal cost at the levels of output of firms in long-run equilibrium in the widget industry. The widget industry may therefore
a. be monopolistically competitive. b. have firms whose goal is sales maximization. c. have firms that act as price leaders. d. All of the above are correct.