Which of the following will most likely increase aggregate supply in the long run?
a. unfavorable weather conditions in agricultural areas
b. an increase in the expected inflation rate
c. higher real interest rates
d. an increase in the rate of capital formation
D
You might also like to view...
Suppose that a large country imposes optimal tariffs on imports from another large country. The second country then responds with optimal tariffs on imports from the first country. For these two countries, the Nash equilibrium results in ___________ for the first country and __________ for the second country.
a. losses; losses b. gains; gains c. losses; gains d. gains; losses
Suppose union workers are earning more than similarly qualified nonunion workers. From this, we can conclude that
A) unemployment of union workers must have increased. B) unemployment of nonunion workers must have increased. C) productivity of union workers must be greater than the productivity of nonunion workers. D) Any of the above are possible and we cannot tell which without having more information.