If an economy has sticky prices, and demand unexpectedly increases, you would expect the economys real GDP
Question:
If an economy has sticky prices, and demand unexpectedly increases, you would expect the economy’s real GDP to:
a. increase.
b. decrease.
c. remain the same.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (QA)
The answer is a increase Heres why Sticky prices In an economy with sticky prices prices adjust slow...View the full answer
Answered By
Milan Mondal
I am milan mondal have done my Msc in physics (special astrophysics and relativity) from the University of burdwan and Bed in physical science from the same University.
From 2018 I am working as pgt physics teacher in kendriya vidyalaya no2 kharagpur ,west bengal. And also I am doing advanced physics expert in chegg.com .also I teach Bsc physics .
I love to teach physics and acience.
If you give me a chance I will give my best to you.
5.00+
4+ Reviews
10+ Question Solved
Related Book For
Macroeconomics
ISBN: 9781264112456
22nd Edition
Authors: Campbell McConnell, Stanley Brue, Sean Flynn
Question Posted:
Students also viewed these Business questions
-
KYC's stock price can go up by 15 percent every year, or down by 10 percent. Both outcomes are equally likely. The risk free rate is 5 percent, and the current stock price of KYC is 100. (a) Price a...
-
1. In the classical model, it is thought that the long-run: A. and short-run aggregate supply curves are both upward sloping. B. aggregate supply curve is vertical and the short-run aggregate supply...
-
MCQ questions: 1. An increase in oil prices, such as the oil shocks in the 70s, lead to _______ thereby causing ________ a movement along the AS curve; cost-push inflation a leftward shift in the AS...
-
As the company accountant, the management of Nickle Company asks you to explain (a) the concept of reasonable assurance in internal control and (b) the importance of the human factor in internal...
-
On December 2, 2019, Joan borrowed $2400, agreeing to repay the loan with blended payments of $292 per month, starting on January 2. Interest was charged at 7.8% per annum calculated on the monthly...
-
Use a change of variables to evaluate the following integrals. 6/5 0 dx 25x + 36
-
Simple numbers are used in this problem to highlight the concepts covered in the chapter. Assume that the Canberra Company produces one producta bath mat that sells for $10. Canberra uses a...
-
Shelly Beaman (social security number 412-34-6670) is single and resides at 540 Front Street, Ashland, NC 27898 Shely's W-2 wages Federal withholding Social security wages Social security withholding...
-
4 5 points eBook Print References Exercise 11-17 (Static) Gain or Loss on Speculative Forward Exchange Contract LO 11-3 On December 1, 20X1, Sycamore Company acquired a 90-day speculative forward...
-
If an economy has fully flexible prices and demand unexpectedly increases, you would expect the economys real GDP to: a. increase. b. decrease. c. remain the same.
-
True or False. The term economic investment includes purchases of stocks, bonds, and real estate.
-
Determine the projected components to the 80-N force acting along the axis AB of thepipe. 6 m 12 m F= 80 N
-
You have learned about lean principles and the eight wastes: defects, overproduction, waiting, not utilizing staff talent, transportation, inventory, motion, and excess processing. Which of the eight...
-
1)Do you think an insurer would be willing to write a contract with UGG that pays UGG if firm's grain handling profits fall below a certain level or a contract that pays them if Canadian grain...
-
54 55 Task #4: An analysis of Time Cards for the employees showed the following hours 56 57 Job XY200 Job AP5000 Job QE3000 Job ME2000 58 Line Worker #1 210 180 250 200 per hr $15.00 59 Line Worker...
-
Compare and contrast the problems companies encounter when production and service facilities become problems. Identify a specific company that produces goods, one that produces services, and one that...
-
Have the company's ROA and ROE changed over the last three years? What was the main factor that influenced this change? To answer this question, apply DuPont analysis and three factors of the DuPont...
-
What does expropriation mean, and what is the role of transfer pricing in this regard?
-
Find the velocity, acceleration, and speed of a particle with the given position function. r(t) = (t 2 , sin t - t cos t, cos t + t sin t), t > 0
-
Look at Figure 1.3. Suppose that the cost of cheese falls, so that the marginal cost of producing pizza decreases. Will the MC curve shift up or down? Will the optimal amount of pizza increase or...
-
Look at Figure 1.3. Suppose that the cost of cheese falls, so that the marginal cost of producing pizza decreases. Will the MC curve shift up or down? Will the optimal amount of pizza increase or...
-
Look back at Figure 2, which shows the inverse relationship between ticket prices and game attendance at Gigantic State University . (a) Interpret the meaning of both the slope and the intercept. (b)...
-
s CB1(1) and YA1 of the Income Tax Act 2007 are very important because: Question 5Answer a. these sections explain how an employee, sole trader, partnership, trust and company should be treated...
-
If the seller is responsible for the shipping costs of merchandise sold, the shipping terms will be specified as:Multiple choice question.FOB destinationFOB factoryFOB shipping pointFOB start
-
A golf club production company wants to ensure that all aspects of its production and distribution processes are operating at optimal efficiency. The company produces three types of clubs, a line for...
Study smarter with the SolutionInn App