Consider the basic AD/AS macro model in long- run equilibrium. An expansionary AD shock has price- level effect in the short run and price- level effect in the long run.
A) a positive; no
B) a negative; a positive
C) a negative; no
D) a positive; an even larger
E) a positive; a smaller
Correct Answer:
Verified
Q77: The main source of increases in material
Q78: Consider an economy with a relatively steep
Q79: Consider the basic AD/AS model, and suppose
Q80: Given current limitations, fiscal policy as a
Q81: Suppose Canada's economy is in a long-
Q83: Consider the basic AD/AS macro model, initially
Q84: A common assumption among macroeconomists is that
Q85: Which of the following statements about fiscal
Q86: The "paradox of thrift" refers to the
Q87: Consider the basic AD/AS diagram. The vertical
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents