Figure 12-2 -Refer to Figure 12-2. If Discretionary Fiscal Policy Is Used

question 75

Multiple Choice

Figure 12-2
-Refer to Figure 12-2. If discretionary fiscal policy is used to eliminate the gap, policy actions
Will

• A) shift the aggregate demand curve to the left until long-run equilibrium is restored at a price level, P_j and output level, Y_p.
• B) shift the aggregate demand curve and the short-run aggregate supply curve to the left until long-run equilibrium is restored at a price level P_k and output level, Y_p.
• C) shift the aggregate demand curve to the left until long-run equilibrium is restored at a price level, P_r and output level, Y_p.
• D) shift the short-run aggregate supply curve to the left until long-run equilibrium is restored at a price level, P_r and output level, Y_p.

---

Definitions:

Functional Résumé

A type of résumé format that emphasizes an individual's skills and experiences rather than chronological work history.

Chronological Résumé

A resume format that lists a person’s work experience in reverse chronological order, starting with the most recent positions and working backwards.

Career Objective

A statement of one's professional goals or aspirations, usually included in a resume or CV.

Meaningful

describes something that has a significant, profound, or important impact or consequence.