Short-run aggregate supply curve slopes upward

Assignment Help Business Economics
Reference no: EM13895990

An introduction to the AD-AS model:

The aggregate demand and aggregate supply model is a useful simplification of the macroeconomy used to explain short-run fluctuations in economic activity around its long-run trend.

The horizontal axis of a diagram of the aggregate demand and aggregate supply curves measures which of the following?

An economy's real GDP

An economy's price level

The price of a particular representative good produced in the economy

The amount of a particular representative good produced in the economy

Which of the following are reasons that the short-run aggregate supply curve slopes upward? Check all that apply.

As the price level rises, firms pay higher wages for workers.

As the price level rises, firms expand their production because they can sell their output for more money.

As the price level rises, firms find it more profitable to hire workers at any given wage.

Reference no: EM13895990

Questions Cloud

What is transnational leadership : What is transformational leadership? Why is it so important?
Find the cournot equilibrium : Market demand is given by P = 140 -Q. There are two firms, each with unit costs = $20. Firms can choose any quantity. Find the Cournot equilibrium and compare it to the monopoly outcome and to the perfectly competitive outcome. Why aren't the latter ..
How do the gods and goddesses described in the myths : In general, how do the gods and goddesses described in the myths resemble human men and women?
Short-run aggregate supply curve slopes upward : The aggregate demand and aggregate supply model is a useful simplification of the macroeconomy used to explain short-run fluctuations in economic activity around its long-run trend. Which of the following are reasons that the short-run aggregate supp..
Describe any differences between career development : Can you describe any differences between career development and employee development? What types of employee development experiences have you had in past/current workplace positions? Have these experiences affected your overall career development?
Financial crisis and the subsequent recession : During the 2008 financial crisis and the subsequent recession, how did major U.S. banks respond to the actions of the Federal Reserve? How did those monetary policy actions affect U.S. businesses and households?
Compare economic performance in oligopolistic market : Compare economic performance in an oligopolistic market with that in a purely competitive one. Is oligoploy the best market structure for rapid technological development? Why or why not?
What is the role of hrm specifically : How is HRM  directly involved with the new employee orientation? What is the role of HRM specifically?

Reviews

Write a Review

 

Business Economics Questions & Answers

  Q1 for each of the determinants of demand in equation 21

q1. for each of the determinants of demand in equation 2.1 classify an example exemplify the effect on the demand for

  What can we infer about the marginal propensity to consume

If the IS curve does not shift when autonomous consumption increases by $100 MM and autonomous taxes increase by $200 MM, what can we infer about the marginal propensity to consume?

  Calculate the primary deficit

Suppose government purchases amount is $3.5 trillion, transfer payments amount is $0.5 trillion, net interest payments are $0.25 trillion and tax revenue is valued at $2 trillion. Calculate the amount of the government deficit; Calculate the primary ..

  Should the fed be using expansionary monetary policy

What is the Federal Reserve (Fed) all about? Which Federal Reserve District Bank is closest to you? Who is the current Chairman of the Fed? Should the Fed remain independent from political authority or should the President and Congress have a say in ..

  Explain why do us taxpayers lose

the congressional research service estimates that at least $45 million of counterfeit u.s. $100 notes produced by the north Korean government are in circulation. Explain why do U.S. taxpayers lose because of north Korea's counterfeiting.

  Gdp every capita in the united states

Europe has leveled off at Illustrate what fraction of GDP every capita in the United States.

  What is the probability that an unemployed worker finds job

Assume an economy with a total population equal to 1. Individuals can only be employed or unemployed. Suppose this economy’s steady-state unemployment rate is 5%. We know that workers can lose their jobs and become unemployed with probability 4%. Wha..

  Utilize economic theory to analyze the likely labor-market

Utilize economic theory to analyze the likely labor-marketplace effects of the growth in these awards, assuming that the wages in these jobs stay constant.

  Elucidate what will be price of your jersey in los angeles

Elucidate what will be the price of your jersey in Los Angeles and what will be the price in Brooklyn. What will be your total profits.

  Rationale of the reagan administration

Compare the rationale of the Reagan administration for the 1981 tax reductions with the rationale behind the Kennedy-Johnson tax cut of 1964

  Expected inflation tend to move with the return on money

According to whose model does expected inflation tend to move with the return on money?

  General agreement on tariffs and trade

In the 1950s, imports and exports of goods and services constituted roughly 4% to 5% of U.S. GDP. In recent years, exports have accounted for approximately 12% of GDP, while imports have more than tripled to over 15% of GDP. International trade agree..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd