In the Basic AD/AS Macro Model,which of the Following Events

question 30

Multiple Choice

In the basic AD/AS macro model,which of the following events could cause a negative AS shock?

• A)a large decrease in wages
• B)a large increase in business confidence
• C)a large decrease in the net tax rate
• D)a widespread outbreak of a serious infectious disease
• E)a large increase in labour productivity

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Definitions:

Confidence Interval

An estimated range of values calculated from a given set of sample data, intended to offer a degree of certainty that a population parameter lies within it.

Simple Random Sample

A smaller group taken from a larger statistical group where each individual has the same chance of selection.

Population

The entire group of individuals or instances about whom the data is to be collected or researched.

Significance Level

The probability of rejecting the null hypothesis in a statistical test when it is actually true, often denoted by alpha.