An expansionary gap in the short-run results in:
a. lower resource prices in the long run.
b. unemployment in the long run
c. a recessionary gap in the long run.
d. cost-push inflation in the long run.
e. demand-pull inflation in the long run.
d
Economics
You might also like to view...
The short run aggregate production function is subject to ________ if capital stock is increased, holding the total efficiency units of labor as constant
A) increasing returns to scale B) constant returns to scale C) decreasing returns to scale D) the Law of Diminishing Marginal Product
Economics
Describe how you might analyze and evaluate the following claim: College students who graduate during an economic recession accept jobs that, on average, pay 9% less than jobs accepted by students who graduate during economic expansions
What will be an ideal response?
Economics