5 Questions
Which of the following always correspond(s) to a fall in the short run output?
The resulting price level falls
Suppose the multiplier is 2. The AE curve shifts down by 80 due to a fall in investment confidence. What will happen to the AD curve?
It will shift to the left by 160
The aggregate demand is derived from which of the following conditions?
By examining how government policies affect spending patterns
The aggregate demand curve is:
Downward sloping because of the interest-rate, wealth, and foreign trade effects
Which of the following add(s) to a country’s capital stock?
Net investment expenses
Test your knowledge of macroeconomics with this multiple choice quiz. From understanding short run output to the effects of shifts in aggregate supply and demand, this quiz covers essential concepts. Put your skills to the test and see how you fare!
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