If the short-run aggregate supply increases by less than the long-run aggregate supply, then, at the short-run equilibrium
A) GDP will be below potential GDP. B) aggregate demand will increase.
C) GDP will be equal to potential GDP. D) GDP will be above potential GDP.
A
Economics
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Which of the following is an example of expansionary monetary policy?
A) Congress passing a new government stimulus package. B) The Fed raising the discount rate for member banks. C) The Fed increasing the money supply to push interest rates lower. D) The president signing an executive order to raise the minimum wage of government employees.
Economics
A positive demand shock causes the aggregate demand curve to undergo an ______ shift.
a. anticipated rightward b. unexpected rightward c. anticipated leftward d. unexpected leftward
Economics