Workers expect inflation to fall from 4% to 1% next year. As a result, this should
A) move the economy up along a stationary short-run aggregate supply curve.
B) shift the short-run aggregate supply curve to the right.
C) shift the short-run aggregate supply curve to the left.
D) move the economy down along a stationary short-run aggregate supply curve.
B
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Either an increase in the number of buyers or an increase in tastes or preferences for a good or service will increase the market demand for that good or service
a. True b. False Indicate whether the statement is true or false
Assume that coffee and tea are substitutes. Given a downward sloping demand curve for tea, an increase in the price of tea will cause
A) an increase in the demand for coffee. B) a decrease in the demand for coffee. C) a leftward shift of the demand curve for tea. D) a leftward shift in the demand for coffee.