Based on the figure below. Starting from long-run equilibrium at point C, a decrease in government spending that decreases aggregate demand from AD1 to AD will lead to a short-run equilibrium at__ creating _____gap.
A. B; no output
B. D; an expansionary
C. B; recessionary
D. D; a recessionary
Answer: D
Economics
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In the United States, the Lorenz curve for wealth is ________ from the 45-degree line than is the Lorenz curve for income, which means that the distribution of wealth is more ________ than the distribution of income
A) farther away from; unequal B) farther away from; equal C) closer to; unequal D) closer to; equal
Economics
If a decrease in price increases total revenue, what can you determine about the elasticity of demand for the good?
What will be an ideal response?
Economics