Which of the following is most commonly used to monitor short-run changes in economic activity?   the inflation rate real GDP aggregate demand aggregate supply

Q: If the short-run aggregate supply curve intersects the aggregate demand curve to the right of…

A: The potential level of GDP is the level which can be achieved by the economy through the efficient…

Q: Which of the following is most commonly used to monitor short-run changes in economic activity?…

A: The real GDP is most commonly used to monitor short-run changes in economic activity. While…

Q: Europe and Asia both fall into deep economic recessions. What impact will this have on U.S.…

A: Aggregate demand refers to the amount of sales proceeds which an entrepreneur actually expects from…

Q: Which of the following statements best describes the aggregate supply curve? A) The aggregate…

A: Aggregate Supply curve is an upward sloping curve.

Q: The recession of 2007-2009 was made worse by a global financial crisis. Show the effect of the Great…

A: After the Great Depression in 1929, recession of 2007 to 2009 affect the whole world economy very…

Q: A supply shock might lead to stagflation, if it shifts the short-run aggregate supply curve to the…

A: Aggregate supply refers to the total amount of all the goods and services supplied in an economy…

Q: In the long run, as a result of the sharp increase in saving, the price level , the quantity of…

A: At a given price and particular time, overall demand is defined as cumulative sum of money…

Q: Long-run aggregate supply is the level of output given by a. price stickiness b. aggregate demand…

A: Long-run aggregate supply curve represented by a vertical line.  When the short-run aggregate demand…

Q: ) What is the equation of the long-run aggregate supply curve? The income velocity of money is…

A: Over the long haul, the aggregate supply curve is entirely upward, mirroring financial analysts'…

Q: In the short run, the decrease in consumption spending due to the increase in saving shifts the…

A: Aggregate demand (AD) is the sum total amount of commodities and services demanded in an economy at…

Q: The upward slope of the short-run aggregate supply curve is based on the assumption that:   1)…

A: When talking about aggregate demand and aggregate supply, the slope of thise curves depends upon…

Q: If policymakers decrease aggregate demand, then in the short run the price level   falls and…

A: The aggregate demand refers to the total amount of goods and services demanded in an economy that…

Q: After an unexpected in the price of oil, the long-run adjustment decreases the price level and the…

A: Long run adjustment refers to a situation when the output fluctuates in the short run because of…

Q: MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the…

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

Q: If wages and prices are fully flexible, output gaps will automatically close in The Ling-Run The…

A: Short run refers to the period of time where at least one factor of production is fixed. Long run…

Q: Which of the following shifts short-run, but not long-run aggregate supply right?   a decrease in…

A: The short run aggregate supply curve shows a positive relationship between the price of a good or…

Q: Answer the following questions on the basis of the following three sets of data for the country of…

A: During the immediate short-run, the aggregate supply curve is horizontal, which implies the price…

Q: A sudden increase in consumer spending will shift the aggregate demand curve to the right and lower…

A: When consumers make changes in their spending decision, it will affect the price level and GDP level…

Q: Which of the following is most commonly used to monitor short-run changes in economic activity?A.…

A: Real GDP: Real GDP refers to the market value of all final goods and services produced in an economy…

Q: A decrease in the nominal wage will cause the aggregate supply curve to   a. become steeper. .   b.…

A: When there is a change in price of good, it causes movement along the demand curve or supply curve.…

Q: How does an increase in aggregate demand affect output, unemployment, and the price level in the…

A: AD(aggregate demand) curve, shifts to the right(increases) when its components rise. The components…

Q: aggregate price level and aggregate output Severe weather in Mpumalanga and Limpopo in January 2021…

A: Aggregate supply is a macroeconomic concept that helps in determining the total number of quantity…

Q: Firm​ X, a leading manufacturer of rubber tires in country​ A, caters to almost​ one-third of the…

A: Recession is a situation in the economy, when there is general decline in the economic activity. For…

Q: 1)Potential output is the same as long-run aggregate supply. Select one: True False

A: Hey, Thank you for the question. According to our policy, we can only answer 1 question per session.…

Q: *How are the following related to each other? a. the long-run equilibrium rate of output b. the…

A: Introduction Potential GDP:  it is the quantity of real GDP when there is full employment of labor .…

Q: Philotechnia requires every high school graduate to be computer literate because so many workplaces…

A: The policy of computer literacy increases the labor supply and thereby the potential GDP and…

Q: Oil price shocks have an evident impact on the short run aggregrate supply curve. With the help of a…

A: SRAS refers to short-run aggregate supply. SRAS curve is an upward sloping curve.

Q: Answer questions a through F on the basis of the following graph:    a. If the actual price level…

A: A gap is said to be expansionary if the actual GDP exceeds the potential level of GDP in the…

Q: The maximum quantity that an economy can produce, given its existing levels of labor, physical…

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

Q: Which of the following would not cause a shift in the long-run aggregate supply curve? a) An…

A: Answer - Need to find- Which of the following would not cause a shift in the long-run aggregate…

Q: Which of the following is the impulse in the Keynesian business cycle A change by the Fed in the…

A: In Keynesian business cycle, impulse is firms expectations.

Q: The Great Depression showed that the short-run aggregate supply curve and the aggregate demand curve…

A: Prior to Great Depression the economy was working on Classical economic  theory that assumes the…

Q: a decreasein the nominal wages will cause the aggregate supply curve to; a. become steeper b.…

A: The aggregate supply curve shows the total quantity of output (real GDP) that firms will produce and…

Q: Which of the following is likely to occur if an increase in legal immigrants significantly reduces…

A: Immigration refers to the international movement of people to a country of which they are not…

Q: Aggregate supply (AS) denotes the relationship between the __________________ that firms choose to…

A: Aggregate supply shows positive relationship between price and quantity of output. It is derived…

Q: The high cost of oil has caused an increase in the price of plastic. (Plastic is made from…

A: Cost-push expansion(inflation) happens when by and large overall price increment (inflate) because…

Q: economic forecasters had expected consumer spending to increase by 6 percent this year, but instead…

A: Positive demand shock:- Positive demand shocks cause the nation's AD to rise, resulting to greater…

Q: recessions have occurred roughly once every six years since the 1960s. the unemployment rate usually…

A: The model of aggregate demand and aggregate supply is used by most economists to analyze short-run…

Q: All of the following impact (shift) the short-run aggregate supply curve EXCEPTtechnological…

A: In the short run, the factors that lead to a change in the aggregate supply curve are,change in…

Q: Fill-in-the-Blank: The economy self-corrects for a short-run recession through __________ wages and…

A:

Q: If wages fall, then the short-run aggregate curve shifts to the

A: In an economy, wages refers to the amount of money earned by the people when they provide their…

Q: A vertical aggregate supply graph indicates that aggregate demand has no effect on: A) Prices B)…

A: Aggregate supply curve shows relationship between price and quantity of output supplied.

Q: Draw Aggregate Demand, Short Run Aggregate Supply, and Long Run Aggregate Supply as if an economy is…

A: The economy is in short run equilibrium where aggregate demand intersects short run aggregate supply…

Q: Sort the following shocks into aggregate supply or aggregate demand shocks. Remember that "shocks”…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: The vertical long-run aggregate supply curve satisfies the elassical dichotomy because the natural…

A: Aggregate supply curve shows relationship between price and real output supplied.