Fiscal policy actions that are intended to have long-run effects on real GDP attempt to increase ________ through changing ________

Refer to Table 4-14. The equations above describe the demand and supply for Pauline's Pickled Pomegranates. What are the equilibrium price and quantity (in thousands) for Pauline's Pickled Pomegranates?

A) $15 and 45 thousand B) $30 and 15 thousand C) $60 and 20 thousand D) $20 and 10 thousand

If the economy suffers a permanent negative supply shock because there is an increase in regulations that permanently reduce the level of potential output, then

A) potential output falls. B) the long-run aggregate supply curve shifts leftward. C) the short-run aggregate supply curve shifts upward. D) all of the above.