The shorter the period of time being considered, the less rapidly will diminishing marginal utility set in

Refer to the figure above. This country has comparative advantage in

A) X. B) Y. C) both X and Y. D) Can't tell without more information.

When a permanent negative supply shock hits the economy ________

A) in the long-run, output is permanently lowered whether the central bank reacts or not B) inflation decreases in the short-run C) there is no long-run effect on inflation whether the central bank reacts or not D) all of the above E) none of the above