Which of the following would cause prices and real GDP to rise
in the short run?...
Which of the following would cause prices and real GDP to rise
in the short run?
a. short-run aggregate supply shifts right
b. short-run aggregate supply shifts left
c. aggregate demand shifts right
d. aggregate demand shifts left
Which of the following would cause prices to rise and real GDP
to fall in the short run?
Question options:
an increase in the expected price level
an increase in the capital stock
an increase in the quantity of labor available
if prices rise and quantity remains constant, then real GDP and
GDP deflator will increase but nominal GDP will remain Constant.
Give reasons in support of your answer. (need 500-600 words with
figure if possible)
Which would NOT cause GDP to rise?
Group of answer choices
Between 1970 and 2000 the number of Americans in prison nearly
quadrupled, causing government to increase its funding for
prisons
Minimum wage rises from $7.25 to $8.25
A stock market boom
In the past decade more people are hiring maids to do the work
they used to do themselves
The U.S. economy generates $_______ per year in economic
activity. GDP includes all items produced and sold. T/F?
Group of...
Which of the following cause call and put option prices to rise?
decrease in the underlying stock price increase in the volatility
of the underlying stock decline in the hedge ratio decrease in the
time to expiration none.
Use the model of aggregate demand and short-run aggregate supply to explain how each of
the following would affect real GDP and the price level in the
short run.An increase in government purchasesA major decrease in the stock of capitalA trade surplusAn increase in Labor
A decrease in short-run aggregate supply means ________.
Question 14 options:
A)
the real GDP would decrease and the price level would rise
B)
both the real GDP and rises in the price level would become
greater
C)
both the real GDP and the price level would decrease
D)
the real GDP would increase and rises in the price level would
become smaller
If aggregate demand increases and aggregate supply decreases,
the price level ________.
Question 22 options:
A)
will...
What determines the equilibrium price level and real GDP? In the
short run, a shift in aggregate demand establishes a new, but
temporary, equilibrium along the short-run aggregate supply curve.
TRUE or FALSE? Please Explain your Answer. In the long run, the
short-run aggregate supply curves shifts so that changes in
aggregate demand determine the price level but not the equilibrium
level of output or real GDP. TRUE or FALSE? Please explain your
answer. Propose three functions of the Federal...
Why is it useful to analyze " Short-run output" graph
and "potential and actual real gdp graph". What economic challenges
does each graph depict and what economic successes does each graph
depict? (for USA specifically)
1)
What happens to U.S.
real
GDP and the price levelin
the short run, when
a
major trading partner enters
a
recession (i.e.
experience
decrease in their real
GDP)?
Assume
that initially the U.S.
economy
is at its long-run equilibrium.
a.)
What happens to real GDP and the price level, if a country enters a
war and experiences destruction of its human and physical capital
stocks? Assume that initially the economy is at its long-run
equilibrium.
b.)
Suppose an economy...