Technological change, such as the information technology revolution of the 1990s can shift the aggregate supply curve outward. If, at the same time, the government is decreasing spending, the most likely outcome of these two factors is a(n)

In the above figure, the inflationary gap when AD2 is the aggregate demand curve equals

A) the difference between 110 and 100. B) the difference between $16.5 trillion and $16.0 trillion. C) LAS minus SAS at a price level of 100. D) AD1.

What is the most important factor leading to rising health care costs in the United States since 1980?

a. The increased use of expensive medical technology. b. The aging U.S. population. c. The increased cost of malpractice insurance for providers. d. Rising incomes for physicians. e. The rising cost of pharmaceutical drugs.