An above-full-employment equilibrium occurs when
A) aggregate demand decreases while neither the short-run nor long-run aggregate supply changes.
B) short-run aggregate supply decreases while neither aggregate demand nor long-run aggregate supply changes.
C) the equilibrium level of real GDP is greater than potential GDP.
D) the equilibrium level of real GDP is less than potential GDP.
C
Economics
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Collusion is more likely to occur when
A) there is fear of punishment for not colluding. B) there is a known finite time horizon. C) there are large gains to be made by cheating on an agreement. D) the game lasts only one period.
Economics
Refer to the information above. Which of the following represents the steady-state growth rate of output per worker in this economy?
A) 2% B) 3% C) 5% D) 10% E) 15%
Economics