short-run aggregate supply curve is most likely to shift down to the right when:-
- the actual output exceeds potential output
option(B)
the short-run aggregate supply curve is most likely to shift down The short-run aggregate supply curve...
At points on the short-run aggregate supply curve, but to the right of the long-run aggregate supply curve, resources are: A. over-utilized, making it more likely that the short-run aggregate supply curve will shift up (to the left) B. over-utilized, making it more likely that the short-run aggregate supply curve will shift down (to the right) ° C. under-utilized, making it more likely that the short-run aggregate supply curve will shift up (to the left) D. under-utilized, making it more...
17- Both the long run and short run aggregate supply curve will shift when an event occurs which is expected to last only a short period of time. they are both upward sloping. a war occurs in the Middle East. the endowments of the factors of production changes 19- Cost-push inflation occurs when the aggregate supply curve shifts to the right, while aggregate demand remains stable. when the aggregate demand curve shifts to the left, while aggregate supply remains stable....
35. Which of the following will most likely cause a decrease in short-run aggregate supply (leftward shift) in the goods and services market? a. An increase in the productivity of labor b. A reduction in the price of crude oil, a major imported commodity c. An increase in resource prices d. Favorable weather conditions in agricultural areas. 36. The vertical long-run aggregate supply curve reflects the fact that in the long run, an increase in the price level. a. Will not alter the economy's maximum...
When the aggregate demand curve and the short-run aggregate supply curve intersect, a) the long-run aggregate supply curve must also intersect at the same point. Ob) the economy must experience higher output than the natural level of output. o c) the economy must experience lower output than the natural level of output. o d) the economy is in short-run macroeconomic equilibrium. In a small economy in 2016, aggregate expenditure was $900 million while GDP that year was $750 million. Which...
Describe the short-run aggregate supply (SRAS) curve and the long-run aggregate supply (LRAS) curve. A. the SRAS curve is horizontal and the LRAS curve is upward sloping B. the SRAS curve is horizontal and the LRAS curve is vertical C. the SRAS curve is vertical and the LRAS curve is horizontal D. the SRAS curve is vertical and the LRAS curve is upward sloping Why is the short-run aggregate supply curve horizontal? A. because output is fixed in the short...
When the long-run aggregate supply curve shifts, the short-run aggregate supply curve may or may not shift in the same direction.
6. Why the aggregate supply curve slopes upward in the short run In the short run, the quantity of output that firms supply can deviate from the natural level of output if the actual price level in the economy deviates from the expected price level. Several theories explain how this might happen. For example, the misperceptions theory asserts that changes in the price level can temporarily mislead firms about what is happening to their output prices. Consider a soybean farmer who expects a...
Which would most likely shift the aggregate supply curve? A change in the prices of _____. domestic products foreign products financial assets resources A decrease in aggregate demand in the short run will reduce _____. both real output and the price level the price level and increase the real domestic output the real domestic output and have no effect on the price level the price level and have no effect on real domestic output The economy's long-run AS curve assumes...
Sticky wages cause the: Multiple Choice long-run aggregate supply curve to slope upward. short-run aggregate supply curve to slope downward. long-run aggregate supply curve to slope downward. short-run aggregate supply curve to slope upward.
In the extended analysis of aggregate supply, the short-run aggregate supply curve is Multiple Choice 0 upsloping and the long-run aggregate supply curve is vertical. 0 vertical and the long-run aggregate supply curve is horizontal 0 horizontal and the long-run aggregate supply curve Is upsloping. 0 horizontal and the long-run aggregate supply curve Is vertical.