If fiscal policy is used to close an expansionary gap, the _____
a. short-run aggregate supply curve shifts leftward and the price level falls
b. short-run aggregate supply curve shifts rightward and the price level increases
c. short-run aggregate supply curve shifts rightward and the price level falls
d. aggregate demand curve shifts leftward and the price level falls
e. aggregate demand curve shifts rightward and the price level falls
d
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Economies of scale are indicated by
A) declining long-run AVC. B) declining long-run AFC. C) declining long-run AC. D) declining long-run TC.
International trade has the potential to ____ the availability of goods and services to ____.
A. increase; those nations who export more than they import B. increase; nations that have an absolute advantage in the production of a good or service C. increase; all nations D. decrease; all nations