Which of the following could explain why there is an increase in potential GDP but the equilibrium level of GDP does not rise?
A) SRAS shifted to the right by more than LRAS. B) AD shifted to the right by more than SRAS.
C) SRAS and AD do not shift. D) AD shifted to the right by less than SRAS.
C
Economics
You might also like to view...
Which of the following is a good proxy for the measure of economic prosperity when GDP per capita data is unavailable?
A) Measurements of producer surplus B) Measurements of consumer surplus C) Measurements of balance of payments D) Measurements of urbanization
Economics
One country has an absolute advantage over another country if it can produce a good using smaller quantities of resources
a. True b. False Indicate whether the statement is true or false
Economics