In the long run, the price level is determined by   a. the short-run aggregate supply curve and long-run aggregate supply curve being the same.   b. the aggregate demand curve being perfectly vertical.    c. the aggregate demand curve.   d. short-run aggregate supply curve.

Q: Indicate whether the descriptions that follow are short-run aggregate supply curves, long-run…

A: Short-run aggregate supply curve:- The amount of overall production that will be generated at each…

Q: 6. A significant increase in labor productivity due to better STEM education. 1. Before: 2. Shifter…

A: Aggregate demand is the sum of consumption , Investment , Government spending and net export.…

Q: Why is the aggregate supply curve completely vertical in the long run? A. Short-run business cycles…

A: Aggregate supply curve shows different combinations of price and output supplied in the economy.

Q: 11. Using aggregate demand, short-run aggregate supply, and long-run aggregate supply curves,…

A: Aggregate demand means the total value of final goods and services that all sectors of economy are…

Q: Of all the influences on production plans, which influences are constant along the aggregate supply…

A: Aggregate supply depicts the relationship among the quantity of real GDP supplied and the price…

Q: Which of the following would cause an increase in the price level in the long run? Choose one:A.…

A: Price level refers to the monetary value of a goods or services that is sold in the market. In a…

Q: The answer selection for a is: Curve A is the ____ Short-Run Aggregate Supply Price Level…

A: Macroeconomics examines the working, composition, and dynamics of an economy. AD/AS model is used…

Q: Decide if the following events are Micro, shifting supply or demand, or Macro, shifting AD or AS.…

A: The branch of economics which studies the behaviour of individuals is called microeconomics.…

Q: Question 4 Which statement best characterizes what happens to the aggregate demand curve when the…

A: Aggregate demand is a fundamental concept in economics, representing the total quantity of goods and…

Q: Topic: The long-run aggregate supply curve and short-run adjustments Help on the questions…thanks

A: Ans. ) Given that the question is about the concept of the short-run and long-run aggregate supply.…

Q: The experience of the 1970s taught economists that changes in:   a. both aggregate demand and…

A: 1970s witnessed a series of macroeconomic disasters as inflation and unemployment spiralled to…

Q: Along the short-run aggregate supply curve (SRAS), an increase (rightward shift) in the aggregate…

A: Hello. Since your question has multiple parts, we will solve the first question for you. If you want…

Q: Price Level 160 140 120 100 80 60 40 20 0 Aggregate Supply LRAS 20 40 60 80 100 120 140 160 Real GDP…

A: Real GDP, or real gross domestic product, is a measure of economic output adjusted for inflation. It…

Q: Figure 2. PRICE LEVEL 70 к AD₂ QUANTITY OF OUTPUT 9 AD, AD₂ Refer to Figure 2. An increase in taxes…

A: Aggregate demand is the sum of consumption, investment, government spending and net export. This…

Q: The downward slope of the aggregate-demand curve shows that:       A.  a fall in the price level…

A: Aggregate demand (AD) is the sum total amount of commodities and services demanded in an economy at…

Q: What is the effect of an increase in the price level on the? short-run aggregate supply? curve?…

A: Aggregate supply refers to the overall supply of goods and services by an economy in a period of…

Q: Assume the economy is in long-run equilibrium. Now assume that there is a large increase in demand…

A: The total expenditure in the economy is called the aggregate demand (AD). The components of AD are C…

Q: Assume the economy of Chile is in a long-run equilibrium with full employment. In the short run,…

A: The long-run aggregate supply curve is the graphical representation of aggregate supply data in the…

Q: immediately when Yankee baseball fans visit Toronto to s Canadian game. (draw a graph to show your…

A: Aggregate demand refers to the total expenditure made by all sector of the economy, and it is the…

Q: An increase in consumer confidence in a country will result in a 1.shift of the aggregate demand…

A: Consumer confidence is the index that shows the optimism that consumers have on the economy at any…

Q: If both aggregate supply and aggregate demand simultaneously increase,   a. the price level and…

A: The increase in AS shifts AS to the right which  increases real GDP and decreases price level.

Q: 5.2 Explain why the long-run aggregate supply curve is vertical. Then, explain how each of the…

A: You have asked multiple questions. We will answer the first question for you. If you want any…

Q: Suppose that aggregate supply deceases while aggregate demand held constant. a. What happens to the…

A: "A short-run aggregate supply curve (depicts the amounts of total output supplied in an economy at…

Q: Which of the following is likely to occur if an increase in legal immigrants significantly reduces…

A: Aggregate supply refers to the total quantity of output that all the firms produce within a given…

Q: The aggregate supply shifts to the right if: A. supplies of resources increase. B. investment…

A: The aggregate supply curve movements to one side as productivity increases or the cost of key…