Answered: The long-run aggregate supply curve is…

The long-run aggregate supply curve is a vertical line passing through Select one: Oa the natural rate of output. O b. the actual rate of unemployment. Oc the expected rate of inflation.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter23: Aggregate Demand And Aggregate Supply

Section: Chapter Questions

Problem 7QR

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Question

The long-run aggregate supply curve is a vertical line passing through
Select one:
Oa the natural rate of output.
O b. the actual rate of unemployment.
Oc the expected rate of inflation.
O d the natural-rate price level.

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Similar questions

The long-run aggregate supply curve is Select one: O a.a vertical line through the non-inflationary rate of output. O b.a vertical line through the natural rate level of output. O ca horizontal line through the current level of output. d. a vertical line through the current level of output.
Which of the following shifts in aggregate demand and short-run aggregate supply would cause an unambiguous increase in inflation? Select one: O a. A decrease in AD and an increase in SRAS O b. No change in AD and an increase in SRAS O c. An increase in AD and an increase in SRAS d. An increase in AD and a decrease in SRAS O e. A decrease in AD and a decrease in SRAS
The short-run aggregate supply curve has: O A. a positive slope because as the inflation rate increases, so does the quantity of output supplied. OB. a positive slope because as the inflation rate increases, the quantity of output supplied decreases. C. a negative siope because as the inflation rate increases, the quantity of output supplied decreases. O D. a negative slope because as the inflation rate increases, so does the quantity of output supplied.
The aggregate supply curve shows the relationship between Select one: O a. the inflation rate and the level of inputs. O b. the inflation rate and the level of aggregate output supplied. O c. the level of inputs and aggregate output. O d. the wage rate and the level of employment.
At which range the economy is producing at full employment according to the aggregate supply curve. O a. Intermediate range O b. None c. Aggregate demand range O d. Keynesian range е. Classical range
What is the correct answer?
q.12
Moving along the aggregate supply curve, O A. technology advances. B. the quantity of capital used increases. OC. the real wage rate is constant. O D. only the price level changes. O E. the stock of human capital increases.
A price-level increase, Ceteris Paribus, will: Select one: O a. cause an upward movement along the aggregate demand curve. O b. cause a downward movement along the aggregate demand curve. O c. cause a rightward shift of the aggregate demand curve. O d. have no impact on the aggregate demand curve. O e. cause a leftward shift of the aggregate demand curve.
Assume the economy is initially operating at the natural level of output. Which of the following events will initially cause a shift of the aggregate supply curve? Select one: O a. An increase in the money supply. O b. An increase in consumer confidence. O c. An increase in government spending. O d. All of the above. e. None of the above.
According to the Keynesian model of macroeconomic equilibrium, a decrease in aggregate demand Select one: O a. will cause the price level to fall substantially. O b. will cause an increase in aggregate supply that will restore full employment. O c. will not cause unemployment. O d. will not cause nominal wages to decline sufficiently to restore full employment.
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