Which of the following would best explain a decline in potential GDP?
A) Negative net investment
B) The discovery of vast new oil reserves
C) a lower price level
D) a decrease in the infant mortality rate
E) decrease in wages and profits
Answer: A) Negative net investment
Economics
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As quantity increases, which of the following must be true if average total costs are rising? a. Marginal cost must be greater than average total cost
b. Marginal cost must be less than average total cost. c. Average fixed cost must be increasing. d. Average fixed cost must be less than average variable cost.
Economics
Considering perfect competition, monopolistic competition, and monopoly, which of the market structures features entry in the long run?
Economics