A large increase in aggregate demand in an overheated economy will tend to
A. reduce real GDP
B. Increase nominal GDP
C. Dramatically increase real GDP
D. Decrease nominal GDP
Answer: B
Microeconomics
- An increase in the price level may be caused
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- Suppose that wages increase sharply this year. Other things being equal a wide-spread increase in wages will have which of the following consequences for the U.S. economy?
- An unanticipated increase in inflation this year will
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