Higher resource prices shift the...

What will be an ideal response?

short-run aggregate supply curve leftward, rising the price level and decreasing real GDP so it is less than potential GDP

Economics

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Legal constraints will always reduce the size of the economic pie

Indicate whether the statement is true or false

Economics

Suppose present interest rates are relatively high. Financial investors will hold

A) smaller speculative balances because they expect bond prices to fall further. B) larger speculative balances because they expect bond prices to fall further. C) smaller speculative balances because they do not expect bond prices to fall further. D) larger speculative balances because they do not expect bond prices to fall further.

Economics