The Great Recession of 2007-09 illustrated the situation where a negative demand shock occurred and:
A.
Prices adjusted but the output level was inflexible
B.
The economy's overall price level was very flexible
C.
The economy's overall price level was "sticky"
D.
Prices and production were both "sticky" or inflexible
C.
The economy's overall price level was "sticky"
Economics
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With a rise in government expenditure we
A) move up along an aggregate demand curve. B) move down along an aggregate demand curve. C) shift the aggregate demand curve to the right. D) shift the aggregate demand curve to the left.
Economics
Consumers allocate their budgets among bundles because
A) more is not always better. B) bundles are the most efficient way to package goods and services. C) consumers face choices and tradeoffs. D) they want to minimize trips to the store.
Economics