The aggregate demand curve shifts to the right when there is ________

Refer to the figure above. If the capital stock is fixed at $300, what is the consumption in the economy?

A) $3,000 B) $4,000 C) $2,000 D) $5,000

Which of the following is false about the long run? a. The long-run equilibrium output for a firm in perfect competition occurs at the lowest point on the average total cost curve. b. The shape of the long-run supply curve depends on the extent to which input costs change when there is entry or exit of firms in the industry. c. In a constant-cost industry, the prices of inputs do not change as

output is expanded. d. In an increasing-cost industry, the cost curves of the individual firms rise as the total output of the industry decreases.