If Short-Run Equilibrium Output Is Above Full-Employment Output,then in the Long

question 78

Multiple Choice

If short-run equilibrium output is above full-employment output,then in the long run input prices will

• A) decrease and output will increase.
• B) increase and output will be unaffected.
• C) increase and short-run aggregate supply will increase.
• D) increase and output will fall.
• E) decrease and output will fall.

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Definitions:

Adult Child

A term used to describe adults who have not assumed traditional adult responsibilities or roles, often due to psychological or social factors.

Compartmentalization

A psychological process of dividing and categorizing thoughts, feelings, and behaviors into distinct sections to manage conflict or anxiety.

Parent

An individual who has a biological or legal responsibility for raising and caring for a child.

Talcott Parsons

An influential American sociologist known for his contributions to social theory, particularly the action theory and the systems theory.