Based on the figure below. Starting from long-run equilibrium at point C, a tax cut that increases aggregate demand from AD to AD1 will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies.
A. D; C
B. B; C
C. B; A
D. D; B
Answer: D
Economics
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The cheapest time to buy domestic trips was ___ days--about two months--before departure
Fill in the blank(s) with the appropriate word(s).
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Adding the quantities demanded by all consumers at every price will yield
A) the market-clearing price. B) the number of consumers. C) the total substitution effect from a price change. D) the market demand curve.
Economics