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When the average level of prices of goods and services rises

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Reference no: EM131325906

Question 1: Explain why real GDP might be an unreliable indicator of the standard of living.

Question 2: Why does unemployment arise and what makes some unemployment unavoidable?

Question 3: Consider the following statement: ‘When the average level of prices of goods and services rises, inflation rises'? Do you agree or disagree? Explain.

Question 4: What is the aggregate demand (AD) curve and why does it slope downwards? Explain.

Question 5: What is the long run aggregate supply (LRAS) curve and why is it vertical? Why does the short run aggregate supply curve slope upwards?

Reference no: EM131325906

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