If aggregate demand shifts outward over a long period of time, with aggregate supply held constant, the economy should experience

The difference between personal income and disposable income is:

A) corporate taxes B) personal taxes C) savings D) none of the above

Rational expectations refer to

A. the use of all available information in forecasting economic variables. B. the use of aggregate supply to forecast unemployment. C. the use of opportunity costs to forecast inflation. D. disinflation.