What impact would a change that shifts an economy’s production possibilities curve outward have on the long-run aggregate supply curve? How have improvements in computer technology affected production possibilities and the long-run aggregate supply curve?

Q: What impact would a change that shifts an economy's production possibilities curve outward have on…

A: The production possibility curve represents the locus of combinations of two commodities that a…

Q: 1. If firms only know and care about their own production levels and are not aware about the…

A: The entire quantity of demand for all finished products and services generated in an economy is…

Q: 11. Using aggregate demand, short-run aggregate supply, and long-run aggregate supply curves,…

A: Aggregate demand means the total value of final goods and services that all sectors of economy are…

Q: 3. Suppose that Cyber Sara, the Bill Gates of the new millennium, takes technology to new heights…

A: The demand curve shows the amount of goods and services that a consumer is willing to buy at…

Q: 45. Suppose that there is a temporary fall in aggregate supply due to a drought. What happens in the…

A: Answer: Higher prices cause permanent tensions, leading long-run aggregate supply to shift left,…

Q: What would be the effect of an unexpected increase in the price of oil on a graph showing aggregate…

A: In an economy, aggregate demand and aggregate supply curves are the graphical representation of the…

Q: The Aggregate Supply (AS) curve slopes upward to reflect the profit motive of businesses. So, why…

A: AS curve: It shows the quantity of the real GDP supplied by the economy at various price levels.

Q: The aggregate demand curve portrays the relationship between price level and real GDP. What are the…

A: Aggregate demand (AD) is defined as the total amount of commodities and services that is bought by…

Q: 2. Suppose that there is a temporary fall in aggregate supply due to a drought. What happens in the…

A: The economy is in long-run equilibrium when the actual equilibrium level of output is equal to the…

Q: How is the aggregate demand curve different from the demand curve for a single good, like…

A: Q1) aggregate demand means the effective demand which constitutes consumption, investment by private…

Q: Which of the following is the technical definition of a recession? A. a fall in GDP for four…

A: Recession is a period when economic activities are falling.

Q: Refer to Figure 9.1. When the price level rises and causes lower consumption expenditures, it is…

A: In an economy aggregate demand curve shows the total output demanded by the households and other…

Q: Assume that the macro-economy is initially in short -run equilibrium.  What happens to the…

A: The short-run macroeconomy equilibrium is determined by the AD-AS model. The intersection of…

Q: 5) Which of the following is TRUE about the long-run aggregate supply curve? A) It is vertical at…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Why the slope of the aggregate supply curve differs in the short-run and in the long-run? Why the…

A: Aggregate supply refers to the minimum amount of sales proceeds which entrepreneurs expect to…

Q: Suppose that the aggregate demand and aggregate supply schedules for a hypothetical economy are as…

A: Given data Aggregate demand is the total demand for goods and services in an economy. Aggregate…

Q: 14 15 What long-term effect does a recession have on consumer behavior? It causes customers to shift…

A: Since you have asked multiple questions, we will solve first question for you. In case you want to…

Q: Write the definition of Macroeconomics with example?

A: Note- Since you have posted multiple independent questions in the same request, we will solve the…

Q: Draw a graph that plots Short-run Aggregate Supply, Long.Run Aggregate Supply, and Aggregate Demand.…

A: Answer in Step 2

Q: What are the determinants for aggregate demand and aggregate supply? How would an ideal aggregate…

A: The link between the quantity of a commodity that producers want to sell at various prices and the…

Q: Assume that the macro-economy is initially in short -run equilibrium.  What happens to the…

A: Answer: Correct option: (c) Both the equilibrium price level and the equilibrium level of real GDP…

Q: 5.2 Explain why the long-run aggregate supply curve is vertical. Then, explain how each of the…

A: You have asked multiple questions. We will answer the first question for you. If you want any…

Q: 3. What role do imports play in aggregate demand? Under which conditions will changes in imports…

A: Aggregate demand, a macroeconomic concept, provides an overview of total demand made by the…

Q: 8. Suppose that aggregate demand and supply for a hypothetical economy are as shown: P TITIX Amount…

A: Economic equilibrium is a state in which economic factors such as supply and demand are balanced,…

Q: e. none of the above is correct. 18. Suppose the economy is in long-run equilibrium. If there is a…

A: Meaning of Aggregate Demand and Aggregate Supply: The term aggregate demand refers to the…

Q: 2) What is the difference between the long-run aggregate supply and the short-run aggregate supply…

A: Answer: Aggregate supply refers to the total output produced by the firms in an economy. Short-run…

Q: A new mattress has allowed workers to get more sleep. As a result, when they are awake, they are…

A: Long run aggregate supply (LRAS) depicts the maximum level of output that a nation can produce by…

Q: The long-run aggregate supply curve reflects the amount of potential production when we are in full…

A: In an economy, macroeconomics deal with variables that Influence the economy as a whole and give…

Q: Which of the following is true of a recessionary gap? O a. In the long run, this gap closes when the…

A: When talking about recessionary gap, it is the situation when an economy is experiencing relatively…

Q: how do i explain these answers

A: The monopoly is a market structure which is characterized by the presence of a single seller in the…

Q: 4. Suppose that over a five-year period, nominal GDP increases by 5 percent while real GDP decreases…

A: The nominal GDP simply might rise because of a rise in the price level while the real GDP would rise…

Q: Write the definition of Macroeconomics with example? 2. Describe the concept of aggregate demand and…

A: Macroeconomics is the study of large population as one. Example, Income of a country, i.e., GDP

Q: 23. Which of the following is not one of the five regions of the aggregate aggregate supply curve…

A: "Aggregate supply curve represents the total output produced that businesses produce and sell at…

Q: 1) Briefly, how would a sharp reduction in consumer spending be represented on the Circular Flow…

A: The circular flow diagram represents how firms and households are interrelated, how they fulfill the…

Q: Give an example of a favourable and unfavourable shock to the aggregate supply. Use the model of…

A: The economies around the world tend to work upon the basis of the economic and financial activities…

Q: If aggregate demand is constant in an economy and aggregate supply decreases in the short run, which…

A: The aggregate demand and aggregate supply model is used to determine the equilibrium price level and…

Q: What would be the impact of changing the determinant variables given in the first column (below) on…

A: Investment refers to the process of acquiring an asset or a process with the objective of generating…

Q: Define any five macroeconomic terms: 1.Aggregate demand 2. Aggregate supply 3.fiscal policy…

A: "Since you have asked multiple questions, we will answer only first question for you, If you have…

Q: How does the aggregate demand curve change if aggregate demand increases in an economy?    a)…

A: The aggregate demand encompases the following:C = ConsumptionI = InvestmentG = Government…

Q: 3. Suppose that the aggregate demand and aggregate supply schedules for a hypothetical economy are…

A: Hi, thanks for the question. As per the guidelines we are allowed to attempt first question. If you…

Q: QUESTION 5 a. Suppose that some kind of significant economic event has occurred, and y ou learn that…

A: We are going to analyze the mechanism of AD-AS curves to answer this question.

Q: Consider the nature of macroeconomic equilibrium. If, at a particular price level, aggregate output…

A: Economic equilibrium is the combination of economic variables (quantity and price) toward those…

Q: Question attached

A: Since you have posted multiple questions, we will solve the first question for you. If you want any…

Q: The figure below shows equilibrium in an aggregate demand-aggregate supply model. In this figure,…

A: Answer: d ( the actual price level is lower than expected) Explanation: If the actual price level is…