Aggregate demand curve to the right

Assignment Help Macroeconomics
Reference no: EM132606894

Consider the following statement: "President Carter expressed concern about reports of rising inflation but insisted the economy is on the right course. He pointed to recent reductions in unemployment as evidence that his economic policies are working." Which of the following could have caused this phenomenon?

A. Increase in government spending that shifted the aggregate demand curve to the right.

B. Increase in money supply which lowered interest rates and shifted the short-run aggregate supply curve to the right.

C. Economic agents revising their expectations on price level resulting in the short-run aggregate supply curve shifting to the left.

D. Expansionary fiscal and monetary policies that shifted the long-run aggregate supply curve to the right.

Reference no: EM132606894

Questions Cloud

Outline evaluation of the dispute : Outline your evaluation of the dispute and the effectiveness of the resolution strategies (SITXCOM005 Manage conflict) (Cert 3 Commercial Cookery)
What is the money multiplier : The reserve ratio of country Alpha is 12%. John makes a bank deposit $200 in Bank Gamma
Prepare the entries for the declaration and issuance : Coronado Corporation has 51,000 shares of $13 par value common stock outstanding. Prepare the entries for the declaration and issuance
What is anomie : What is anomie? According to Durkheim, how does anomie perpetuate crime? How did Durkheim feel about crime and punishment?
Aggregate demand curve to the right : Consider the following statement: "President Carter expressed concern about reports of rising inflation but insisted the economy
Prepare a journal entries for both situations : Prepare a journal entries in 2017 for both situations. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Nations security : Identify two key obstacles to convergence of public and private sector security efforts. Provide potential solutions to the problems you discuss.
Explain volkswagen emission scandal : Differentiate between stakeholder and shareholder accounting theory with explained examples. Explain Volkswagen emission scandal
Question - Product Cost Markup Percentage : Question - Product Cost Markup Percentage. Determine the markup percentage on product cost. Round the answer to nearest whole number

Reviews

Write a Review

Macroeconomics Questions & Answers

  Expansionary and contractionary monetary policies

Identify and explain the means by which the Fed can affect the money multiplier. How do changes in policy carry through to the economy and compare and contrast expansionary and contractionary monetary policies.

  Competitive firm long-run supply curve

Suppose that a competitive firm long-run supply curve is given by the expression QF = -500 + 10P. Does this mean that the firm will supply -500 units of output at a zero price? If so, what does output of -500 units mean?

  Derive the marginal cost of production

Carlton Corporation, a manufacturer of electronic equipment, determine the following relation between its marginal cost of production output:

  Difference affect comparisons of gdp per person

In Africa, this is unknown; children are almost all cared for by relatives. How would this difference affect comparisons of GDP per person?

  What goods or services should the government provide

If the market doesn't provide a good or a service that would bring large social gains, do you agree that the government should have an obligation to provide

  Inflation-induced tax distortions

Tim receives a portion of his income from his holdings of interest-bearing government bonds. The bonds offer a real interest rate of 4.5% per year.

  If congress put a quota on foreign video games then

If Congress put a quota on foreign video games, then - If Congress removes all tariffs on Chinese products in response to a new free trade agreement with China, then.

  What factors have contributed to the increased globalization

If a corporate bond paid 9% interest, and you are in the 28% income tax bracket, what rate would you have to earn on a general obligation municipal bond of equivalent risk and maturity in order to be equally well off. Given that municipal bonds ar..

  The company of choice for study is akzonoble

Select a (domestic)  public limited company of your choice which has some degree of market power. In an essay of 2400 words or fewer, evaluate the pricing strategies it employs for its core product/business in order to increase its market share and p..

  Computing of nrp and erp

You are given the following information about the personal computer (PC) industry: Find the NRP and the ERP.  Show all calculations and formulas.

  Explain the modified accelerated cost-recovery system

Cathy has one year left before she completes her degree in industrial engineering. She is spending this summer working for her family's firm, MMM (Molehill & Mountain Movers). MMM runs a fleet of heavy construction equipment and sells gravel for r..

  Maximum profit for the producer

A producer in a perfectly competitive industry has a cost function described by TC(q)=1000+6q+0.2q^2. If the market price is 40 and it has already committed to paying the fixed cost, what is the maximum profit for the producer?

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