Based on the figure above, the aggregate demand curve will shift from AD0 to AD2 when
A) potential GDP increases.
B) the price level falls.
C) taxes are lowered.
D) government expenditure increases.
E) the Federal Reserve raises the interest rate.
E
Economics
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The figure above shows the market for umbrellas in Sunville. Suppose the quantity of umbrellas currently traded in Sunville is 199 per day. If one more umbrella is sold, the total surplus in Sunville will
A) decrease by $26.67. B) increase by $26.67. C) increase by $50.00. D) not change.
Economics
Producer surplus measures the value between the actual selling price and the profit-maximization price
a. True b. False Indicate whether the statement is true or false
Economics