Which of the Following Statements Is Correct Concerning the Views

question 47

Multiple Choice

Which of the following statements is correct concerning the views of new Keynesians and new classicals concerning aggregate supply?

• A)New classical economists believe the short-run and long-run aggregate supply curves are both vertical.
• B)New Keynesian economists believe the short-run and long-run aggregate supply curves slope upward.
• C)Both new Keynesian and new classical economists believe the aggregate supply curve slopes upward in the long run.
• D)Both new Keynesian and new classical economists believe the aggregate supply curve slopes upward in the short run.

---

Definitions:

Millennial Generation

A demographic group consisting of individuals born approximately between 1981 and 1996, known for their familiarity with communications, media, and digital technologies.

Labor Supply

The total hours that workers in an economy are willing and able to work at a given overall wage rate.

Wages

Wages are payments made to employees for their labor or services, typically calculated on an hourly, daily, or piecework basis.

Factors of Production

The inputs used in the production of goods or services in the process of creating economic value; these typically include land, labor, capital, and entrepreneurship.