Solved

-From the Data in the Above Table, When the Economy

Question 177

Multiple Choice

 Price  level  A ggregate  demand  (trillions of  2005 dollars)   Short-run  aggregate  supply  (trillions of  2005 dollars)   Long-run  aggregate  supply  (trillions of  2005 dollars)  1409.011.510.01309.511.010.012010.010.510.011010510.010.010011.09.510.0\begin{array} { | l | l | l | l | } \hline \begin{array} { l } \text { Price } \\\text { level }\end{array} & \begin{array} { l } \text { A ggregate } \\\text { demand } \\\text { (trillions of } \\\text { 2005 dollars) }\end{array} & \begin{array} { l } \text { Short-run } \\\text { aggregate } \\\text { supply } \\\text { (trillions of } \\\text { 2005 dollars) }\end{array} & \begin{array} { l } \text { Long-run } \\\text { aggregate } \\\text { supply } \\\text { (trillions of } \\\text { 2005 dollars) }\end{array} \\\hline 140 & 9.0 & 11.5 & 10.0 \\\hline 130 & 9.5 & 11.0 & 10.0 \\\hline 120 & 10.0 & 10.5 & 10.0 \\\hline 110 & 105 & 10.0 & 10.0 \\\hline 100 & 11.0 & 9.5 & 10.0 \\\hline\end{array}
-From the data in the above table, when the economy is at its short -run equilibrium, if aggregate demand does not change, then as time passes the


A) long-run aggregate supply curve shifts rightward.
B) short-run aggregate supply curve shifts rightward.
C) long-run aggregate supply curve shifts leftward.
D) short-run aggregate supply curve shifts leftward.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions