Which of the following statements best describes the effect of an increase in structural unemployment on an AD/AS diagram?
a. In an AD/AS diagram, an increase in structural unemployment will shift AS to the right.
b. In an AD/AS diagram, an increase in structural unemployment will have no effect on AS or AD.
c. In an AD/AS diagram, an increase in structural unemployment will shift AS to the left.
d. In an AD/AS diagram, an increase in structural unemployment will shift AD to the left.
b. In an AD/AS diagram, an increase in structural unemployment will have no effect on AS or AD.
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The rationing mechanisms that develop under binding price floors are usually efficient
a. True b. False Indicate whether the statement is true or false
A movement downward and to the right along a demand curve is called a(n)
a. increase in demand. b. decrease in demand. c. decrease in quantity demanded. d. increase in quantity demanded.