An increase in input productivity will ________.
A. reduce aggregate demand
B. reduce the equilibrium price level, assuming downward flexible prices.
C. shift the aggregate supply curve leftward
D. reduce the equilibrium real output
Answer: B
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In economics, the term "free market" refers to a market where products are traded but not sold
Indicate whether the statement is true or false
The services British capital provides in Spain are a service export from Britain
A) therefore they are subtracted from British GDP in calculating British GNP. B) therefore they are added to Spanish GDP in calculating Spanish GDP. C) therefore they are added to British GDP in calculating British GNP. D) therefore they are added to Spanish GNP in calculating Spanish GDP. E) therefore they are subtracted from Spanish GNP.