Which of the following events would have as the main effect to increase aggregate supply and shift the AS rightward, thereby lowering the price level and unemployment and increasing gdp?
oil companies are allowed to drill in Alaska national wildlife refuge
the baby boomers retire and exit the workforce
9/11 terrorist attack reduced confidence about future business conditions
congress increases defense spending
oil companies are allowed to drill in Alaska national wildlife refuge- is correct
Oil is input used in production and increase in supply of oil increases aggregate supply.
Which of the following events would have as the main effect to increase aggregate supply and...
Which of the following events would have as the main effect to increase aggregate demand and shift the AD curve rightward, thereby increasing the price level but also increasing GDP? (multiple answers) (Hint: Whenever thinking about aggregate demand, use the formula, GDP or Y = C + I + G + In) Group of answer choices A. Consumer & business confidence is up, as the fear of recession recedes. B. The “baby-boomers” retire and exit the work force. C. Domestic...
Which of the following will increase both the short-run and long-run aggregate supply curves? A. There are fewer firms involved in perfectly competitive and monopolistically competitive market structures as the economy features more oligopolies than before. B. The wage rate temporarily decreases throughout the economy. C. Younger workers in the labour force receive better and more training than their predecessors. D. The supply of key raw materials, such as petroleum and bauxite, is reduced. Which of the following is true...
(1) Other things being equal, which of the following will increase aggregate expenditures? Group of answer choices An increase in domestic prices relative to foreign prices A decrease in the interest rate A decrease in real wealth An increase in income taxes A decrease in government purchases of goods and services (2) If the current unemployment rate is 5 percent and the natural unemployment rate is 6 percent, then the economy is Group of answer choices producing a level of...
1. Which of the following would shift the short-run aggregate supply curve to the right? A change in the law requiring overtime pay for anyone working more than 30 hours a week A reduction in the minimum wage An increase in oil prices An increase in payroll taxes 2. The fact that investors can always hold cash creates: an upward bound on nominal interest rates. negative nominal interest rates. a problem for monetary policymakers when the short-term interest rates approach...
Which of the following would be considered INTANGIBLE capital? (a) a farmer’s tractor; (b) a tennis player’s racket; (c) a refrigerator in a restaurant; (d) WiFi at a Starbuck’s. More than likely, the economic value of production and the social value of production: (a) equal the size of the GDP; (b) are equal to one another; (c) depend upon IRS regulations; (d) can diverge from one another, perhaps because of environmental spillover effects from the creation of output. Which form...