Topic; Determinants of aggregate supply.Fill in the blanks 6. Determinants of aggregate supplyThis graph shows an increase in aggregate supply in a hypothetical economy where the currency is the dollar. Specifically, the short-run aggregatesupply curve (SRAS) shifts to the right from SRAS, to SRAS₂, causing the quantity of output supplied at a price level of 125 to rise from $250billion to $350 billion.PRICE LEVEL200175150125100755025+SRAS,SRAS0050100150200250300350400REAL GDP (Billions of dollars)?The following table lists several determinants of aggregate supply. Fill in the table by indicating the changes in the determinants necessary to increaseaggregate supply.DeterminantNominal Wage RatePrices of Nonlabor InputsProductivityChange Needed to Increase Short-Run Aggregate SupplyIncrease or decreaseIncrease or decreaseIncrease or decrease

Ans. ) In the given question, there is a rightward shift in the short-run aggregate supply curve…

Answered: 6. Determinants of aggregate supply…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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The aggregate supply shifts to the right if: A. supplies of resources increase. B. investment increases. C. wage rates increase. D. consumption increases.
34) Unemployment would increase and prices would decrease if aggregate demand shifted left aggregate demand shifted right aggregate supply shifted left aggregate supply shifted right
The aggregate demand curve shows how real GDP purchased varies with changes in A. Unemployment B. Output C. The price level D. The interest rate
Which only affects short run aggregate supply? Choose all that apply. Group of answer choices Inflationary expectations Input prices Saving Technology Number of resources
Economics
2. Describe the concept of aggregate demand and aggregate supply?
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4) For each outcome below, tell what type of shift must have taken place in either the aggregate demand curve or the long-run aggregate supply curve. (a) In the short run, the price level is unchanged and output rises. (b) In the long run, the price level declines and output is unchanged. (c) In the long run, the price level rises and output decline.
Amount of Real GDP Demanded, Billions $100 $ 200 $300 $ 400 $ 500 Price level 350 a. Use the data above to graph the aggregate demand and aggregate supply curves. Instructions: (1) Use the tools provided AD' and 'AS' to draw the aggregate demand and aggregate supply curves (plot 5 points total for each curve). To earn full credit for this graph, you must plot all required points for each curve. (2) Use the tool provided Eq' to indicate the equilibrium price level and the equilibrium level of real output. 300 250 200 150 100 50 Price Level (Price Index) 300 250 200 150 100 Amount of Real GDP Supplied, Billions $ 450 400 300 200 100 100 200 300 400 500 600 700 Real domestic output (billions of dollars) bition Tools AD Eq AS Instructions: Enter your answers as a whole number a. What are the equilibrium price level and the equilibrium level of real output in this hypothetical economy? Equilibrium price level= Equilibrium level of real output $[ billion is the equilibrium real output also…
The Aggregate Demand line slopes down for a few reasons, one of which is ... Group of answer choices a. When consumers feel prices going up the purchase more b. When price levels go up, it reduces the purchasing power of savings c. When price levels go up, it increases the purchasing power of savings d. When suppliers feel prices going up the supply more
The Great Depression showed that the short-run aggregate supply curve and the aggregate demand curve 1. can never lead to deflation. 2.can intersect at output levels below full employment. 3.must always intersect at full employment. 4.must intersect at output levels above full employment.
A change in which of the following would shift theshort-run aggregate-supply curve but not the longrun aggregate-supply curve?a. the labor forceb. the capital stockc. the state of technologyd. the expected price level

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