Why is the long-run aggregate supple curve vertical

Assignment Help Macroeconomics
Reference no: EM13329588

Why is the long-run aggregate supple curve vertical?  Explain the shape of the short run aggregate supply curve. Why is the short-run curve relatively flat to the left of the full-employment output and realively steep to the right?

Reference no: EM13329588

Questions Cloud

What is the cost of the bear put spread : Consider a long box spread using AZN by buying a bull call spread and buying a bear put spread. Answer the following questions. A) What is the cost of the bull call spread? B) What is the cost of the bear put spread?
What is a government budgetdeficit : What is a government budgetdeficit? How does a federal budget deficit affect the economy? Howdoes it affect the level of investment and interest rates? How doesit affect the individual consumer? Give at least three examples inyour response.
What is the relationship between the value of multiplier and : If thevalue of multiplier is 2.49 then find out: MPC MPS What is the relationship between the value of multiplier and MPC?
What is the amount of the payment : A student borrowed $5,000 which she will repay in 30 equal monthlyinstallments. After her 25th payment she desires to pay theremainder of the long in a single payment. At 15% interestcompounded monthly, what is the amount of the payment.
Why is the long-run aggregate supple curve vertical : Why is the long-run aggregate supple curve vertical?  Explain the shape of the short run aggregate supply curve. Why is the short-run curve relatively flat to the left of the full-employment output and realively steep to the right?
What kind of gap—inflation aryor recessionary : An economy is inlong-run macroeconomic equilibrium when each of the followingaggregate demand shocks occurs. What kind of gap—inflationaryor recessionary—will the economy face after the shock
Find the height of the cliff : At t = 0, a stone is dropped from a cliff above a lake; 1.3 seconds later another stone is thrown downward from the same point with an initial speed of 31 m/s. Find the height of the cliff
Determine the acceleration of each object : Two objects with masses of 3.90 kg and 6.40 kg are connected by a light string that passes over a frictionless pulley, Determine the acceleration of each object
What will bethe elasticity of demand for the product : Suppose a profit-maximizing monopolist is producing 800 unitsof output and is charging a price of $70 per unit.

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

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