Refer to the figure below.________ inflation will eventually move the economy pictured in the diagram from short-run equilibrium at point ________ to long-run equilibrium at point ________.
A. Rising; A
B. Falling; A; C
C. Falling; B: C
D. Rising; A; C
Answer: B
Economics
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According to economists who support passive policymaking
A) expansionary policies can reduce unemployment without increasing the price level. B) policies that attempt to exploit the Phillips curve trade-off will eventually become ineffective for reducing unemployment. C) there is no difference between the effect of an anticipated change in aggregate demand and the effect of an unanticipated change in aggregate demand of an identical amount. D) workers always consider a change in nominal wages to be a change in real wages.
Economics
Which of the following expressions is correct?
A) B = + BR B) BR = + B C) = B + BR D) = -BR - B
Economics