Which of the following most accurately describes the behavior of the U.S. economy during the 2001 recession?
A) Aggregate demand fell as business investment declined while aggregate supply rose as a result of continued productivity growth.
B) Aggregate demand fell primarily as a result of reduced consumption while aggregate supply increased due to continued growth in productivity.
C) Aggregate demand fell due to a reduction in business investment while aggregate supply declined due to a reduction in productivity.
D) Aggregate demand fell due to the bursting of the housing bubble while aggregate supply fell due to slower productivity growth.
A
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When you make a routine, everyday decision it is called
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Which of the following is the most likely effect of lower apple juice prices on the price and quantity purchased of orange juice, a substitute product?
a. The price of orange juice will increase, and the quantity purchased will fall. b. The price of orange juice will fall, and the quantity purchased will increase. c. The price of orange juice will increase, and the quantity purchased will increase. d. The price of orange juice will fall, and the quantity purchased will fall.