In the long run, the price level is determined by a. the short-run aggregate supply curve and long-run aggregate supply curve being the same. b. the aggregate demand curve being perfectly vertical. c. the aggregate demand curve. d. short-run aggregate supply curve.

In the long run, the price level is determined by a. the short-run aggregate supply curve and long-run aggregate supply curve being the same. b. the aggregate demand curve being perfectly vertical. c. the aggregate demand curve. d. short-run aggregate supply curve.

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter23: Aggregate Demand And Aggregate Supply

Section: Chapter Questions

Problem 2CQQ

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Question

In the long run, the price level is determined by

	a.	the short-run aggregate supply curve and long-run aggregate supply curve being the same.
	b.	the aggregate demand curve being perfectly vertical.
	c.	the aggregate demand curve.
	d.	short-run aggregate supply curve.

Definition Definition Total supply of goods and services in an economy at a certain price level in a specific time period.

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