10-8. Assume that the position of a nation's aggregate demand curve hasnot changed, but the long-run equilibrium price level has declined. Otherthings being equal, which of the following factors might account for thisevent?a. An increase in labor productivityb. A decrease in the capital stockc. A decrease in the quantity of money in circulationd. The discovery of new mineral resources used to produce variousgoodse. A technological improvement

Aggregate demand represents the total demand for all finished goods and services produced in an…

10-8. Assume that the position of a nation's aggregate demand curve has not changed, but the long-run equilibrium price level has declined. Other things being equal, which of the following factors might account for this event?

10-8. Assume that the position of a nation's aggregate demand curve has not changed, but the long-run equilibrium price level has declined. Other things being equal, which of the following factors might account for this event?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Assume aggregate demand for US wheat equals domestic demand plus export demand. Those demand functions are a function of wheat price in dollars/bushel (P) and are listed below: QDOMESTIC = 1200-50P QEXPORT = 780-60P Aggregate demand for US wheat will equal 1980-110P when OP >13 OP < 20 P13 at any price
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"The oil price run - up of 2007 - 08 was caused by strong demand confronting stagnating world production. Although the causes were different, the consequences for the economy appear to have been very similar to those observed in earlier episodes, with significant effects om overall consumption spending and purchases of domestic automobiles in particular. The experience of 2007 - 08 should thus be added to this list of recessions to which oil prices appear to have made a material contribution". Oil price shocks have an evident impact on the short run aggregate supply curve. With the help of a graph demonstrate how rising oil prices affect the SRAS and explain what other factors can cause this shift.
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Answer it correctly please.
Suppose that the U.S. economy is at full employment when strong economic growth in Asia increases the demand for U.S.-produced goods and services. How the U.S. price level and real GDP will change in the short run?
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Answer the following questions on the basis of the following three sets of data for the country of North Vaudeville: (A) (B) (C) Price Price Price Level Real GDP Level Real GDP Level Real GDP 110 230 110 280 100 205 100 230 100 255 100 230 95 230 95 230 100 255 90 230 90 205 100 280 a. Which set of data illustrates aggregate supply in the immediate short run in North Vaudeville? (Click to select) v The short run? (Click to select) v The long run? (Click to select) v b. Assuming no change in hours of work, if real output per hour of work increases by 15 percent, what will be the new levels of real GDP in the right column of B? Instructions: Enter your answers rounded to 1 decimal place. At a price level of 110:| At a price level of 100: At a price level of 95: At a price level of 90: Does the new data reflect an increase in aggregate supply or does it indicate a decrease in aggregate supply? (Click to select)
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Ch: 22! Economics