A decrease in aggregate demand in the economy will have what effect on macroeconomic equilibrium in the long run?
A) The price level will fall, and the level of GDP will be unaffected.
B) The price level will rise, and the level of GDP will be unaffected.
C) The price level will rise, and the level of GDP will fall.
D) The price level will fall, and the level of GDP will fall.
A
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Suppose the inflation rate in Zlanaga has shown an upward trend during the last five years, increasing from 5 percent to 10 percent. To combat inflation, the central bank of the country is likely to: a. lower the discount rate
b. decrease the reserve requirements. c. insure the deposits of customers. d. sell government bonds.
Which of the following is considered a contributive standard for the distribution of income?
A) rewarding workers according to their productivity B) rewarding workers according to their needs C) rewarding workers according to the number of their dependents D) all of the above