Along the short-run aggregate supply curve (SRAS), an increase (rightward shift) in the aggregate demand curve will increase: a. both the price level and real GDP. b. real GDP without raising the price level. c. the price level without affecting real GDP. d. the price level but reduce real GDP.

Along the short-run aggregate supply curve (SRAS), an increase (rightward shift) in the aggregate demand curve will increase: a. both the price level and real GDP. b. real GDP without raising the price level. c. the price level without affecting real GDP. d. the price level but reduce real GDP.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter14: Aggregate Demand And Supply

Section: Chapter Questions

Problem 6SQP

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Question

question 1- Along the short-run aggregate supply curve (SRAS), an increase (rightward shift) in the aggregate demand curve will increase:
a. both the price level and real GDP.
b. real GDP without raising the price level.
c. the price level without affecting real GDP.
d. the price level but reduce real GDP.

question 2-

Which of the following would cause an increase (rightward shift) in the short-run aggregate supply curve (SRAS)?
a. An increase in the long-run aggregate supply curve (LRAS).
b. A decrease in the CPI.
c. An increase in the CPI.
d. A decrease in oil prices.

Definition Definition Total supply of goods and services in an economy at a certain price level in a specific time period.

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