________ is a group of firms that have colluded to limit their output and raise their price

Assume an analyst has been hired to estimate the price elasticity of demand for Levi's brand blue jeans and for blue jeans in general. Ceteris paribus, we would expect the price elasticity of demand in absolute value to be:

A) larger for Levi's brand blue jeans than for blue jeans in general. B) larger for blue jeans in general than for Levi's brand blue jeans. C) approximately the same for both Levi's brand blue jeans and blue jeans in general. D) none of the above because the market for blue jeans cannot be analyzed using the model of supply and demand.

In the classical model

A) a decrease in aggregate demand will lead to a decrease in the price level and a decrease in real GDP. B) changes in aggregate supply leave real GDP unchanged. C) a decrease in aggregate demand will lead to an increase in the price level and a decrease in real GDP. D) changes in aggregate demand affect only the price level, not real GDP.