Question

In order for there to be an accurate reflection of the aggregate economic indicators in a model the equilibrium aggregate real GDP and the equilibrium aggregate price level needs to

be considered in individual markets.

only use long run curves.

intersect.

What is the one of the reasons low inflation may actually assist labor markets adjust towards equilibrium?

Low inflation increases the living standard of workers by diminishing their fixed debt.

Low inflation forces more frequent renegotiation of labor contracts.

Low inflation allows for the gradual downward adjustment of real wages.

China had special economic zones originally in places such as Hong Kong and Shenzhen set up back in the 1980s. Why would the Chinese government support these areas with different rules like no tax on trade or different economic laws?

To increase the number of programs where national taxes can be excised.

To contribute to economic health and growth by keeping more money in government.

To facilitate a healthy economic environment and grow international trade.

Important sources that influence a nation’s economic growth in the long run include(s):

zero rate of population growth.

low college graduation rates.

high rate of labor force growth.

Answer 1

1- In order for there to be an accurate reflection of the aggregate economic indicators in a model the equilibrium aggregate real GDP and the equilibrium aggregate price level needs to: intersect

the economy will be in equilibrium at the intersection of real GDP and price level

2-  the one of the reasons low inflation may actually assist labor markets adjust towards equilibrium:

Low inflation allows for the gradual downward adjustment of real wages.

3- the Chinese government support these areas with different rules like no tax on trade or different economic laws to:

To contribute to economic health and growth by keeping more money in government

4- Important sources that influence a nation’s economic growth in the long run include:

high rate of labor force growth