Starting from long-run equilibrium, an increase in autonomous investment results in ________ output in the short run and ________ output in the long run.
A. lower; potential
B. higher; higher
C. lower; higher
D. higher; potential
Answer: D
Economics
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A) a movement up along the aggregate demand curve. B) a movement down along the aggregate demand curve. C) an increase in aggregate demand. D) a decrease in aggregate demand.
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If the exchange rate is constant and U.S. imports increase, then in the foreign exchange market the
A) quantity of U.S. dollars supplied increases. B) supply of U.S. dollars increases. C) supply of U.S. dollars decreases. D) demand for U.S. dollars increases. E) quantity of U.S. dollars supplied decreases.
Economics